The juggernaut that is Facebook continues to break records and barriers in its social networking and internet domination, and reports are suggesting that this may continue further.
The company – which was recently visited by US president Barack Obama – is understood to be on track to make $2bn profit – pre tax and interest – in 2011, meaning that the companies worth in the spring of next year would be around $100bn, a valuation which would put it as larger than internet giants such as online retailer Amazon.
The most recent valuation, in January, valued the company at $50bn, and predicted founder Mark Zuckerberg’s personal fortune to be a staggering $14bn, so the idea that in just over a year the companies valuation could double is quite astonishing.
Facebook makes a majority of its money from advertising and taking a 30% commision on ‘credit’ sales made through the website, so with its user base said to be nearing, or even having passed, 700million people, its not hard to see where they are making their money from, and also, what a fantastic marketing tool it is.
Advertising via social media outlets such as Facebook should be high up on any startup companies marketing tasks, free advertising to 700million people, it makes sense
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