Facebook time equals money: Network tries to friend LBO shark investors
But after you chuckle at the piece by Christopher Beam and Chris Wilson — "Barack Obama deleted the group Guantanamo Bay Detainees 4EVA. ... Khalid Sheikh Mohammed likes this. — turn to the N.Y. Post's Peter Lauria for some unfriendly Facebook news.
In "FACE(BOOK) VALUE: SOCIAL NETWORK CAN'T GET FRIENDLY FUNDING NUMBERS," Lauria reports that Facebook has been meeting with private-equity (read: leveraged-buyout) firms about raising billions.
When will Facebook start trying to seriously cash in on its network, which includes you, me, and about 200 million other people? It's only a matter of time before all of us will be assaulted by tailored marketing and millions more ads and schemes based on our Facebook-revealed desires. You may even me one of those millions who don't mind being the target of behavioral marketing. (See "Facebook marketing fuss: Blogosphere vs. statusphere vs. you," March 11)
It will happen, but there are obstacles — like disagreement over how many billions Facebook is currently worth. Lauria's well-done piece gets into it:
According to these sources, existing investors think Facebook's user base, which totals 200 million globally, is large enough for the Web site to finally turn its attention toward cashing in on its popularity.
After pouring more than $400 million into the Web site, sources said existing investors are itching to see a return on investment and don't want to be further diluted through a new round of funding.
But CEO Mark Zuckerberg is ambivalent about pursuing that route and still wants to focus on expanding Facebook's user base and product offering, sources said.
