Facebook Files For IPO
Social network behemoth Facebook is finally going public. After starting barely eight years ago in a college dorm room by CEO Mark Zuckerberg and his roommates, the site now boasts over 600 million active members (483m who connect daily) and generates $3.7 billion in annual revenue in 2011. Zoomers have been flocking the popular platform, with women 50_ years widely reported as the fastest growing demographic in the social network.
In a letter to prospective investors, Zuckerberg wrote, “We have already helped more than 800 million people map out more than 100 billion connections so far, and our goal is to help this rewiring accelerate.”
“Today, our society has reached another tipping point. We live at a moment when the majority of people in the world have access to the internet or mobile phones — the raw tools necessary to start sharing what they’re thinking, feeling and doing with whomever they want. Facebook aspires to build the services that give people the power to share and help them once again transform many of our core institutions and industries.”
In its IPO filing, Facebook aims to raise $5 billion although the target amount will likely change over the next few months as investment banker Morgan Stanley gauges demand. In comparison, Google’s IPO in 2004 raised $1.9 billion. The IPO will trigger an explosion of wealth in Silicon Valley, including over 1,000 Facebook employees who will become millionaires.
Interested investors interested in FB stock shouldn’t hold their breath, however. Reports claim the $5 billion spend is likely already spoken for.