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Facebook To Put Off IPO Until Late 2012
jfruhlinger writes "Facebook's whispered about IPO is one of the most anticipated in the industry — but it looks like we'll have to anticipate it for a bit longer. The Financial Times, quoting anonymous sources, says that it won't happen until late next year. Those sources say the purpose is to keep Facebook employees focused on product development, but it seems more likely that Facebook's bankers aren't happy with the company's numbers (or the economy's prospects)."
Doesn't matter. They've benefitted from it already, and without that pesky regulation stuff. The sold a big chunk of (massively overvalued) shares to Goldman Sachs, who then sold shares in a fund backed by Facebook shares. Because GS was the only shareholder, they didn't pass the threshold required to go public (and so have to publish accounts). Facebook got a big chunk of capital, GS got a new to you play their hype-and-dump games with, a load of rich people got to buy in early and enjoy the bubble, and a load of other people will get left holding the hot potato when they eventually revalue the fund to be based on something sane.
I am TheRaven on Soylent News
I've been in a tech company that was poised for an IPO just before the sub-prime bubble burst and rained on everyone's parade. An external firm was brought in to handle it, took one look at the books, and told us that we were, to paraphrase only very slightly, having a laugh.
A business model based on growing on private investment rather than revenue, vastly over-inflated self estimate of worth, and years of accounting sleights of hand were easily rooted out.
Sight unseen, I'd suspect - OK, to be honest, hope - that Facebook is in a similar situation. They may have to go through a few firms before they find out willing to take them to market with a multi billion dollar cap and a straight face.
If you were blocking sigs, you wouldn't have to read this.
To be honest it's a pain. It's blocked from just about every work place and even after you've clocked off and you want to go drinking all the info is locked away. The phone app is so invasive I've un-installed it and make do with awful webpages they serve up on mobile.
I book people for events and people book me for events and to be honest, it's one more point of contact that I could do without. It's best use is for one to many dissemination of information. For many to many it is dire; but as so many people are on, it I'm stuck with it. It has a long way to go and I'm looking forward to the next company that steps over it with something better. Getting everyone to move will make that hard.
If anything, Facebook has made it much harder for me to stay in touch with friends and relatives.
Not being a social type, and having a taboo-strength aversion to any conversation in which I only know one of the parties, I'm just not Facebook compatible.
So I rely on e-mail for communication. But with the advent of Facebook, people no longer check their e-mails, nor bother to reply. So I lose touch with people.
I'm sure Facebook is great for those who are social. But it's crippling for those of us who can't cope with social situations.
The problem is that you stop being social with those who need it the most - those you won't find on Facebook.