I literally can’t believe it, or can I, that the Facebook stock price is half of the Initial Public Offering that was at $45 per share a few weeks ago. What does this mean for Facebook and most importantly, what does this mean for the Venture Capital community and public investors?
I distinctly remember when Tom of Myspace was all the rage. Everyone loved Tom and he was everyone’s friend on the front of their Myspace page including my own – Gerard Spinks Publishing Myspace Page. In fact, I remember when Tom and his good buddy sold Myspace to Rupert Murdoch’s publishing empire and literally came up. Rupert Murdoch thought Myspace was going to take over the known hemisphere just as people thought and think Zuckerberg will do.
I’ve been around the block though so ya boi, The UndagroundMilli, has direct experience. Y’all can find the post on here somewhere but my technology company was valued at over $15,000,000 on paper right before we had an IPO killed just as we were making our way to the public market back in 2000. Anyway, I’ve seen and lived through the hype. I know not to trust Gartner and any other media estimates and expectations. You have to be really careful because you can be out of business fast. Facebook will not because they still have Billions of dollars in the bank from investors.
If Mark Zuckerberg does not want to become Tom Anderson of Myspace, they better set sail on a new direction and really capitalize on the market and not only try to make money off of traditional advertising which is what destroyed Tom and Myspace.