Did the IPO destroy Facebook?
The stock continues to go down. Everybody is suing everybody.
Facebook has lost the trust of the "market" and I think that will have a "trickle down" effect/affect to the users.
Opinions?
Personally I don't think there was anything to offer for the money, but I'm not in the advertising or e-business trade.
I think the shiny stuff has been wearing off of Facebook for a long time.
I think the large majority of Facebook users will not care about the financial situation (Many are probably unaware as it does not affect the site itself).
i read this Wired article before the IPO and thought it was interesting. i've kept it in my mind these past few weeks:
http://www.wired.com/business/2012/03/ff_facebookipo/
it's called "For High Tech Companies, Going Public Sucks". since i don't know much about IPOs, it was eye-opening IMO
One can only hope.
The Facebook IPO is going to be in our court system for years, there was so much unrestrained greed and insider info sharing and profiteering. The only ones who made money either shortsold it or were employees (and they have to wait 90 or 180 days to sell stock which is becoming less valuable everyday).
My favorite thing in this whole debacle is the number of companies that are realizing that just because you "Like" them on Facebook, it doesn't mean you'll give them money in real life. Advertising on FB is just foolish. With rare exceptions, people ignore the ads. As more advertisers realize this, the already shrinking profits will take a nose dive. Facebook doesn't have a product. There's nothing that people would pay for.
I give actual money to Flickr, and I feel like I get value for it, too. While I had an Android phone, I was giving actual money to Google (indirectly). They both have products. Woot has products. Amazon has products (turns out I own a bit of AMZN). I never had an interest in buying FB stock. I advised all the folks I knew to not do so, either. They've all told me thank you.
I feel bad for the twenty-somethings who bought a few shares because FB was something they knew. It's a sad business all around.
Funny how things work......
Timeline destroyed Facebook.
IPOs kill companies. I have worked for three different private companies that failed, and you could easily track the beginning of the end to the day that the board decided to take the company public.
That simple choice means a change in strategy. The measurements go from, "How do we build something people want to buy/use?" to, "How do we increase the company valuation high enough to make a metric a$$load of cash?"
Some companies have a good enough product that they survive the money grab. Others don't. The ones that don't fail either months ahead of the IPO or shortly thereafter.
IPOs often only provide the initial investors with a return on their investment and nothing more.
Yes, I am a bitter man.
I thought they were doing a good job of messing it up even before they went public.
/facebook/ was never good.
Many American people left Facebook after this happened.
A CNN Tech article
May 29, 2012
"Saverin has had little to do with Facebook in recent years. But he re-entered the public consciousness recently when, days before Facebook stock was due to hit Wall Street, he renounced his U.S. citizenship in favor of Singapore, where he has lived since 2009.
Many saw it as a dodge -- a way to avoid paying U.S. taxes on his share of the company, valued somewhere around $2 billion."
I don't know about that but I do know that Facebook was stupid a long time ago. I stopped using it years ago. It is what ruined face to face conversation and interaction.
@durkzilla: Tell that to Google. IPOs CAN kill companies is probably a better statement.
Anyone who didn't see this flop coming needs to pull their heads out and stop looking for a nonstop flight to Scrooge McDuckville. If it seems to good to be true, 99.9% of the time it is.
I doubt this will have much affect on users, besides maybe a few more ads for them to ignore.
@apocello42: For every Google there are a hundred failures, but you're right, I should have been less absolute in my statement.
Wow. so many Facebook haters on here. I personally enjoy facebook. It keeps me in touch with all of my family, friends, and military buddies that don't live in the area that I do.
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