Facebook is at the forefront of Tech news today (what else is new). Elevation Partners, a Silicon Valley private equity firm, just gave the social networking behemoth a valuation of $23 billion (yes billion) after it’s secondary market purchase of 2.4 million shares for $120 million dollars.
23 billion dollars. Wow. What’s funny is Facebook’s ad revenue last year was only $800 million. How exactly you get a valuation of $23 BILLION is beyond my mathematical skills. But still, with 500 million users (double what they had last summer) and exponential growth patterns in both India and Russia (and the rest of the world for that matter) it seems the sky is the limit for Facebook.
Bottom line, social media and networks are big business, and here to stay. The largest economic players in the country have definitely put their money where there mouth is.
Looks like we are along for a long, long ride.
All my best,