Facebook Goes Public

by Ryan on May 18, 2012

in Anything Else,Culture,Economy,Media,Pop Culture

Facebook went public today with its initial public offering (IPO) at $38 a share.  It closed at $38.23 with the highest trading volume of any company’s first day since GM.  That’s a lot of volume for such small gains.  The NASDAQ also fell a bit today.  Overall, for such a potentially risky stock, Facebook did end up in positive territory on its first day.

Unlike other social networking sites, I’ve always felt that Facebook managed to do something different — it attracted old people.  Once your parents or even grandparents got on to see pictures of their kids and grandkids, the marketing potential became something much different than your typical trendy “next-big-thing” website.  Old people will stick with it.

However, just because people are on it, doesn’t mean it will make money for investors.  Facebook sells ad space, but it’s not a Google or an Amazon in the way it’s tied to commerce.  Are Farmville bucks really going to “save” Western capitalism?  Maybe for Zynga.

Nonetheless, It will be interesting to see where this goes in the months ahead.

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