The numbers are staggering as Facebook prepares to launch her initial public offering. With Facebook share prices expected to be $28-$35, Facebook’s public value will be 77-96 Billion dollars, making the company one ofthe biggest in the world and founder Mark Zuckerberg one of the richest humans ever to walk the planet. Also one of the youngest rich humans. At 27, the wiley coyote (or maybe better the roadrunner) of American Internet Entrepreneurs has come to dominate both his company and the social media market niche in a way noone has ever done before.
(Reuters) - Facebook Inc CEO Mark Zuckerberg fielded questions about the No. 1 social network’s slowing revenue growth … as he kicked off a cross-country roadshow to promote the company’s $10 billion IPO. MORE from Reuters
Jason Calacanis is no stranger to successful internet companies and even though he has no direct financial connection to Twitter (to my knowledge), he’s very bullish on Twitter’s prospects to make a *lot* of money as Twitter traffic and growth explode online.
Jason is right to tell people to ignore today’s Wall Street Journal article suggesting Twitter’s lack of revenue is a sign of weakness. Almost to the contrary Twitter is correctly building a loyal following of Twitter “Friends and Followers”, many of whom would not participate if the commercial elements were too overwhelming. Google did this masterfully with search with a lean, user friendly interface. After people became loyal and even addicted to Google search they turned on the revenue spigots and Google became the key online player within just a few years.
Calacanis is noting how simply “turning on” various possible advertising features at Twitter would instantly lead to millions in revenue – he said “hundreds of millions” but one should be skeptical of that level of optimism given the challenges Facebook has had despite their huge level of traffic and participation.
Calacanis is so optimistic about Twitter he’s convinced it will be worth more than Facebook eventually, and feels that it’s now worth about a billion based on the implied valuations of the venture capital.