Comments on: Why is Facebook worth $10bn? http://www.vinnylingham.com/why-is-facebook-worth-10bn.html Entrepreneur, Blogger, Speaker & Startup CEO Thu, 11 Feb 2010 08:06:58 -0800 http://wordpress.org/?v=2.9.1 hourly 1 By: Blog Tips http://www.vinnylingham.com/why-is-facebook-worth-10bn.html/comment-page-1#comment-245555 Blog Tips Sun, 16 Aug 2009 23:22:14 +0000 http://www.vinnylingham.com/2007/08/why-is-facebook-worth-10bn.html#comment-245555 thank you for sharing thank you for sharing

]]> By: facebook videoları http://www.vinnylingham.com/why-is-facebook-worth-10bn.html/comment-page-1#comment-245320 facebook videoları Sat, 15 Aug 2009 13:51:37 +0000 http://www.vinnylingham.com/2007/08/why-is-facebook-worth-10bn.html#comment-245320 Thank youu very muchh....ssv Thank youu very muchh….ssv

]]> By: Michael http://www.vinnylingham.com/why-is-facebook-worth-10bn.html/comment-page-1#comment-230569 Michael Sat, 16 May 2009 21:49:40 +0000 http://www.vinnylingham.com/2007/08/why-is-facebook-worth-10bn.html#comment-230569 That makes no sense. What value can you, as a user, derive (in monetary terms from your TV? That didn't stop you from paying a grand for it did it? That makes no sense. What value can you, as a user, derive (in monetary terms from your TV? That didn't stop you from paying a grand for it did it?

]]> By: Facebook grabs another $60m investment http://www.vinnylingham.com/why-is-facebook-worth-10bn.html/comment-page-1#comment-89742 Facebook grabs another $60m investment Mon, 03 Dec 2007 13:56:12 +0000 http://www.vinnylingham.com/2007/08/why-is-facebook-worth-10bn.html#comment-89742 [...] December 3, 2007 by Vinny Lingham Powered by Gregarious (21)Ok - so the $15bn valuation is holding up, according to Kara Swisher. Granted, when it comes to Chinese billionaires, and large software companies that put $240m in for less than 2%, it’s arguable that the valuations are not realistic. Heck, I think I was even the first person to predict that they would get a $10bn valuation. [...] [...] December 3, 2007 by Vinny Lingham Powered by Gregarious (21)Ok – so the $15bn valuation is holding up, according to Kara Swisher. Granted, when it comes to Chinese billionaires, and large software companies that put $240m in for less than 2%, it’s arguable that the valuations are not realistic. Heck, I think I was even the first person to predict that they would get a $10bn valuation. [...]

]]> By: The Devil has come to town… do you party or run away? | Cape Town news http://www.vinnylingham.com/why-is-facebook-worth-10bn.html/comment-page-1#comment-79429 The Devil has come to town… do you party or run away? | Cape Town news Mon, 29 Oct 2007 12:27:26 +0000 http://www.vinnylingham.com/2007/08/why-is-facebook-worth-10bn.html#comment-79429 [...] many scarcely could believe that FaceBook could possibly be valued at $15 billion, except possibly Vinny Lingham, who came close in August 2007 when he conservatively valued FaceBook at $10 billion. So Lingham was off by $5 [...] [...] many scarcely could believe that FaceBook could possibly be valued at $15 billion, except possibly Vinny Lingham, who came close in August 2007 when he conservatively valued FaceBook at $10 billion. So Lingham was off by $5 [...]

]]> By: Facebook valued at $15bn - raises $240m from Microsoft http://www.vinnylingham.com/why-is-facebook-worth-10bn.html/comment-page-1#comment-78868 Facebook valued at $15bn - raises $240m from Microsoft Wed, 24 Oct 2007 23:08:00 +0000 http://www.vinnylingham.com/2007/08/why-is-facebook-worth-10bn.html#comment-78868 [...] 25, 2007 by Vinny Lingham Powered by Gregarious (21)Ok - my bad. I said $10bn - I won’t take it personally if you unsubscribe from my blog. The story is covered by [...] [...] 25, 2007 by Vinny Lingham Powered by Gregarious (21)Ok – my bad. I said $10bn – I won’t take it personally if you unsubscribe from my blog. The story is covered by [...]

]]> By: Vinny Lingham http://www.vinnylingham.com/why-is-facebook-worth-10bn.html/comment-page-1#comment-154255 Vinny Lingham Sat, 29 Sep 2007 11:13:27 +0000 http://www.vinnylingham.com/2007/08/why-is-facebook-worth-10bn.html#comment-154255 Get Serious:<br><br>Firstly, I can only wish I had Facebook stock! The truth is that I don't.<br><br>Facebook's 10bn valuation is based on a PE of 300 - as they are making $30m in profits this year - not bad for a 3 year old company.<br><br>Let's work out some projections going forward if they continued to grow at a 100%/year - which is what Google achieved for the first few years after launching Adwords. Facebook have enough impressions and off a small base, can definitely grow quickly:<br><br>2007 - $30m<br>2008 - $60m<br>2009 - $120m<br>2010 - $240m<br><br>Basically, in 4 years, if they can achieve moderate growth in their user base, but improve monetization - getting to a $240m/annum profit base - at a PE of 40 - which is pretty common - the company can easily be valued at $10bn - it's not a bubble - there are revenues, discounted cash flows, and a steep growth curve ahead. The reality is that Facebook will probably grow at more than 100%/year.<br><br>Remember Metcalfe's law, and you will understand why their network is so valuable! Get Serious:

Firstly, I can only wish I had Facebook stock! The truth is that I don’t.

Facebook’s 10bn valuation is based on a PE of 300 – as they are making $30m in profits this year – not bad for a 3 year old company.

Let’s work out some projections going forward if they continued to grow at a 100%/year – which is what Google achieved for the first few years after launching Adwords. Facebook have enough impressions and off a small base, can definitely grow quickly:

2007 – $30m
2008 – $60m
2009 – $120m
2010 – $240m

Basically, in 4 years, if they can achieve moderate growth in their user base, but improve monetization – getting to a $240m/annum profit base – at a PE of 40 – which is pretty common – the company can easily be valued at $10bn – it’s not a bubble – there are revenues, discounted cash flows, and a steep growth curve ahead. The reality is that Facebook will probably grow at more than 100%/year.

Remember Metcalfe’s law, and you will understand why their network is so valuable!

]]> By: Vinny Lingham http://www.vinnylingham.com/why-is-facebook-worth-10bn.html/comment-page-1#comment-75944 Vinny Lingham Sat, 29 Sep 2007 06:13:27 +0000 http://www.vinnylingham.com/2007/08/why-is-facebook-worth-10bn.html#comment-75944 Get Serious: Firstly, I can only wish I had Facebook stock! The truth is that I don't. Facebook's 10bn valuation is based on a PE of 300 - as they are making $30m in profits this year - not bad for a 3 year old company. Let's work out some projections going forward if they continued to grow at a 100%/year - which is what Google achieved for the first few years after launching Adwords. Facebook have enough impressions and off a small base, can definitely grow quickly: 2007 - $30m 2008 - $60m 2009 - $120m 2010 - $240m Basically, in 4 years, if they can achieve moderate growth in their user base, but improve monetization - getting to a $240m/annum profit base - at a PE of 40 - which is pretty common - the company can easily be valued at $10bn - it's not a bubble - there are revenues, discounted cash flows, and a steep growth curve ahead. The reality is that Facebook will probably grow at more than 100%/year. Remember Metcalfe's law, and you will understand why their network is so valuable! Get Serious:

Firstly, I can only wish I had Facebook stock! The truth is that I don’t.

Facebook’s 10bn valuation is based on a PE of 300 – as they are making $30m in profits this year – not bad for a 3 year old company.

Let’s work out some projections going forward if they continued to grow at a 100%/year – which is what Google achieved for the first few years after launching Adwords. Facebook have enough impressions and off a small base, can definitely grow quickly:

2007 – $30m
2008 – $60m
2009 – $120m
2010 – $240m

Basically, in 4 years, if they can achieve moderate growth in their user base, but improve monetization – getting to a $240m/annum profit base – at a PE of 40 – which is pretty common – the company can easily be valued at $10bn – it’s not a bubble – there are revenues, discounted cash flows, and a steep growth curve ahead. The reality is that Facebook will probably grow at more than 100%/year.

Remember Metcalfe’s law, and you will understand why their network is so valuable!

]]> By: Get Serious! http://www.vinnylingham.com/why-is-facebook-worth-10bn.html/comment-page-1#comment-154254 Get Serious! Sat, 29 Sep 2007 04:47:39 +0000 http://www.vinnylingham.com/2007/08/why-is-facebook-worth-10bn.html#comment-154254 BUBBLE 2.0. All we need to say! The CEO's ego will get the best of him and those involved. Take the money and run, remember Friendster. Facebook will never be a Google, Yahoo, or MSN. Remember what happened to Yahoo when their business model was based pretty much on advertising alone. They fired Tim Koogle and changed their business model. They have several revenue streams but their stock is still down 60% since 2000 and the valuation is finally realistic. Maybe? People thought Facebook was stupid to not accept a billion from Yahoo. Now a year later, people are saying it is worth $10-$15 billion. Did that much really change in the past year to justify this speculation. Friendster was a fad. These are pretty much college kids we are talking about. What are they really worth per user? After they get into the "real world" they will not be spending hours a day on Facebook. If someone pays over $2 billion for them, it will be seen as the same mistake Yahoo did with <a href="http://Broadcast.com">Broadcast.com</a> Mark Cuban 1.0. Zuckerman 2.0???? Or will his lack of experience get the best of him? Seriosly, Vinny. Just do simple P/E Ratio and simple Wall Street Math. It will take 500 years to make sense at a $10 -$15 million valuation. Common, don't feed the media hype! Be a responsible media journalist but you probably have some back end alterior motive to righting this article. BUBBLE 2.0. All we need to say! The CEO’s ego will get the best of him and those involved. Take the money and run, remember Friendster. Facebook will never be a Google, Yahoo, or MSN. Remember what happened to Yahoo when their business model was based pretty much on advertising alone. They fired Tim Koogle and changed their business model. They have several revenue streams but their stock is still down 60% since 2000 and the valuation is finally realistic. Maybe? People thought Facebook was stupid to not accept a billion from Yahoo. Now a year later, people are saying it is worth $10-$15 billion. Did that much really change in the past year to justify this speculation. Friendster was a fad. These are pretty much college kids we are talking about. What are they really worth per user? After they get into the “real world” they will not be spending hours a day on Facebook. If someone pays over $2 billion for them, it will be seen as the same mistake Yahoo did with Broadcast.com Mark Cuban 1.0. Zuckerman 2.0???? Or will his lack of experience get the best of him? Seriosly, Vinny. Just do simple P/E Ratio and simple Wall Street Math. It will take 500 years to make sense at a $10 -$15 million valuation. Common, don’t feed the media hype! Be a responsible media journalist but you probably have some back end alterior motive to righting this article.

]]> By: Get Serious! http://www.vinnylingham.com/why-is-facebook-worth-10bn.html/comment-page-1#comment-75926 Get Serious! Fri, 28 Sep 2007 23:47:39 +0000 http://www.vinnylingham.com/2007/08/why-is-facebook-worth-10bn.html#comment-75926 BUBBLE 2.0. All we need to say! The CEO's ego will get the best of him and those involved. Take the money and run, remember Friendster. Facebook will never be a Google, Yahoo, or MSN. Remember what happened to Yahoo when their business model was based pretty much on advertising alone. They fired Tim Koogle and changed their business model. They have several revenue streams but their stock is still down 60% since 2000 and the valuation is finally realistic. Maybe? People thought Facebook was stupid to not accept a billion from Yahoo. Now a year later, people are saying it is worth $10-$15 billion. Did that much really change in the past year to justify this speculation. Friendster was a fad. These are pretty much college kids we are talking about. What are they really worth per user? After they get into the "real world" they will not be spending hours a day on Facebook. If someone pays over $2 billion for them, it will be seen as the same mistake Yahoo did with Broadcast.com Mark Cuban 1.0. Zuckerman 2.0???? Or will his lack of experience get the best of him? Seriosly, Vinny. Just do simple P/E Ratio and simple Wall Street Math. It will take 500 years to make sense at a $10 -$15 million valuation. Common, don't feed the media hype! Be a responsible media journalist but you probably have some back end alterior motive to righting this article. BUBBLE 2.0. All we need to say! The CEO’s ego will get the best of him and those involved. Take the money and run, remember Friendster. Facebook will never be a Google, Yahoo, or MSN. Remember what happened to Yahoo when their business model was based pretty much on advertising alone. They fired Tim Koogle and changed their business model. They have several revenue streams but their stock is still down 60% since 2000 and the valuation is finally realistic. Maybe? People thought Facebook was stupid to not accept a billion from Yahoo. Now a year later, people are saying it is worth $10-$15 billion. Did that much really change in the past year to justify this speculation. Friendster was a fad. These are pretty much college kids we are talking about. What are they really worth per user? After they get into the “real world” they will not be spending hours a day on Facebook. If someone pays over $2 billion for them, it will be seen as the same mistake Yahoo did with Broadcast.com Mark Cuban 1.0. Zuckerman 2.0???? Or will his lack of experience get the best of him? Seriosly, Vinny. Just do simple P/E Ratio and simple Wall Street Math. It will take 500 years to make sense at a $10 -$15 million valuation. Common, don’t feed the media hype! Be a responsible media journalist but you probably have some back end alterior motive to righting this article.

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