FB down 8% at opening

Re:FB down 8% at opening by marshray on Monday May 21, 2012 @12:16PM (#4003514)

Hard to imagine exponential growth in what either users or advertisers are willing to pay. An analogy to FB as a user service might be, say, MMORPGs like WoW. They seem to exhibit early exponential growth due to peer pressure. Yet they are never priced more than $10 - $15/mo. Often they start out as a subscription service and then move to free-to-play.

So then are advertisers willing to increase their FB advertising budgets exponentially? Does FB have something coming down the pike on a regular basis to make that happen?

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Re:FB down 8% at opening by sanxiyn on Monday May 21, 2012 @01:05PM (#4003763)

Virtual goods. It is a proven revenue model for social networks.

http://venturebeat.com/2009/03/19/the-worlds-most-lucrative-...

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Re:FB down 8% at opening by marshray on Monday May 21, 2012 @04:53PM (#4004870)

The link is from 2009, the title is "The world's most lucrative social network? China's Tencent beats $1 billion revenue mark".

That doesn't sound to me like a "proven revenue model" to support a $104B company with exponential growth.

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Re:FB down 8% at opening by duskwuff on Monday May 21, 2012 @03:18PM (#4004409)

Soo... Facebook Gold? ;)

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