POLL: Is Facebook Really Worth All Those Billions?
It became a publicly-traded company this week and is making billions for its shareholders.
From its humble beginnings as an idea in a Harvard dorm room, to a social media site with an estimated 900 million users worldwide - Facebook has become a huge part of our popular culture.
Privately held since 2004, Facebook became a publicly-traded company this week. That means all of its shares will be listed on the NASDAQ stock exchange and sold to the public, though some investors criticized that it was hard to get their hands on the stock.
Once trading began, Facebook sold 421 million shares at $38 each and raised an estimated $16 billion in one day, setting records for valuation and volume of first-day trading. Friday's trading set a record for the number of shares sold, 567 million.The company's total valuation is now estimated at $104 billion.
Founder Mark Zuckerberg's wealth is estimated at $19 billion after the trading and co-founder Eduardo Saverin gave up his US citizenship and became a citizen of Singapore, a move that will reportedly save him a 15 percent tax on his shares.
After all of this hullabaloo, is Facebook really worth that much money? Some social media critics say it's popularity can't last forever, others say the stock sale didn't do as much as they'd expected to boost the value of social media sites. What do you think? Is Facebook that valuable? Or could it become tomorrow's Myspace?
Research credited to Reuters.com, San Jose Mercury News, yahoo.com.