Facebook Becomes Third Most Valuable Web Business, Passes eBay
According to it's value on SecondMarket, an exchange for shares of privately held companies, the social network is now worth about $41 billion -- more that eBay's $39.3 billion valuation on Nasdaq. (Google, valued at $192.9 billion, and Amazon, worth $74.4 billion, still lead the way.)
Suggesting that the valuation is valid, Forrester analyst Augie Ray tells Bloomberg: Facebook "has in fairly short order -- just a couple of years -- gone from being a very niche site to one where the majority of Americans spend a great deal of their online time."
In what is perhaps the understatement of the century, Business Insider concludes: "The future for Facebook looks bright," adding, "It is the primary place on the web people spend time."
Still, "None of this really matters until Facebook goes public," ReadWriteWeb reminds us. "This isn't the first time we've seen reports regarding Facebook's supposed valuation ... In March, for example, The Wall St. Journal talked to several investors who were anticipating a market capitalization of $35 to $40 billion for the social network, given a 2011 IPO."
Calling such lofty valuations "risky," Mashable warns: "One only needs to look back at MySpace and how quickly it fell from a social networking powerhouse to a has-been."
While downplaying the numbers as "fundamentally speculative," Facebook sources are predicting sales of at least $1.4 billion this year -- up from about $800 million last year. By comparison, eBay's revenue is expected to top $9 billion this year, Mashable notes.
Yet, just based on those privately-disclosed numbers, analysts believe that Facebook has put an end to any remaining marketer concerns about social media. Citigroup analyst Mark Mahaney tells Bloomberg: "As an advertising platform, Facebook has been proven."
Recent Around the Net In Online Marketing Articles
-
Google Glass Apps Adding Up May 17, 11:47 a.m.
In what has become a necessary step for any successful operating system, Google Glass is starting ... -
Groupon Drags Out CEO Search May 17, 11:46 a.m.
Speaking of Groupon, the deal site says it’s unlikely to name a permanent new CEO until ... -
Andrew Mason Plotting Next Company May 17, 11:44 a.m.
What’s Andrew Mason been up to since being booted from the top spot at Groupon? Well, ... -
Yahoo Kicking Tumblr's Tires May 17, 11:44 a.m.
Yahoo is reportedly considering partnering with, investing in, or buying Tumblr. “Sources said the talks were ... -
Google, NASA To Study A.I. With "Quantum Computer" May 16, 12:01 p.m.
Google and NASA are creating a laboratory to study artificial intelligence. Their focus, as The New ... -
Skift Closes $1 Seed Round May 16, noon
Skift -- the travel intelligence and news startup founded by Rafat Ali -- has closed $1.1 ... -
USA Network Vies For Social Media Control May 16, 11:59 a.m.
USA Network on Thursday is expected to debut a new Web and mobile platform that, as ... -
Microsoft, Google At Odds Over App Ads May 16, 11:58 a.m.
After Microsoft updated its own YouTube application for Windows Phone the other week, Google sent the ... -
Larry Page Explains Soft-Spokenness May 15, 10:30 a.m.
More than personal quirk or mere curiosity, Larry Page’s soft-spokenness has led some analysts to question ... -
Brightcove Bows Mobile Live-Streaming Tool May 15, 10:29 a.m.
Video distribution platform Brightcove is introducing a new module that is designed to help customers run ...
Be the first to comment on "Facebook Becomes Third Most Valuable Web Business, Passes eBay"
Leave a Comment