Some very good points below. I am rather optimistic on facebook's future - and an avid user- but won't buy their stock, at this time;). Not entirely sure why.
Three Headwinds for Facebook's IPO - Maxwell Wessel - Harvard Business Review
"However, the advertising business is dependent on visits to Facebook’s website. As of yet, the company has not built out a compelling mobile advertising platform. And unfortunately for the Facebook investor, mobile internet is becoming increasingly important. Facebook even amended its S-1 to acknowledge the risks to its advertising business from increasing adoption of the mobile format.
While this is a surmountable problem, it puts the media company in a very different position than that of Google in 2004 — the company that Facebook is most often compared against. When Google IPO’d in 2004, the company’s advertising business had tailwinds; internet penetration was only at around 68% in the U.S. (let alone the rest of the world) and amount of use per user was also on the rise. Growth in revenues for Google was inevitable. Facebook’s ability to achieve enormous advertising growth, on the other hand, is far less certain.
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