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Facebook funding

Facebook received $25 million in funding for a $525 million pre-money valuation.

Nice work for Mark Zuckerberg, who in February 2004  started Facebook in his college dorm. Back then, he paid $85 a month for three months to get his startup going. Zuckerberg -- who turns all of 22 next month - told me once that if his idea failed, there's always Harvard, a fallback notion that Microsoft Bill Gates turned on its ear in 2004, on a visit to Cambridge, Mass. "I encourage you guys to take time off and do something... 'If Microsoft ever falls through, I'm going back to Harvard,'" Zuckerberg recalled hearing Gates say. Looks like Zuckerberg isn't going back for a while.  No wonder 50% of China's undergraduates received degrees in natural science or engineering vs. 15% in the U.S. (according to Lockheed Martin CEO Robert Stevens' opinion piece in WSJ). All the college students here quit before they get their degrees. For the record, Zuckerberg was a psychology major.

Read my Net Sense column on MarketWatch

What would you do? 1) Take the $750 million from Viacom, and work on your tan? 2) Take the $25 million for a $550 million valuation from Greylock, and work on building the business to create even more value to either sell at a higher price down the road, or... dare I say, go public!?!? (If you want to watch Mark, click onto startup interviews.)

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Interesting story for you today. Well, it´s good time to become internet entrepreneur.   Facebook received $25 million in funding for a $525 million pre-money valuation. Continue reading>> ... [Read More]

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Comments

Take the $750 million and start a VC firm to invest in a bunch of other interesting Web 2.0 ideas. But then again, that's just me.

It is amazing to see what MySpace and Facebook have achieved in such a short period of time.

Is the valuation irrational or rational about Facebook?

find out:
http://blog.worldmojo.com/?p=126

Bambi- It would be great to understand if there was a entrepreneur take out in this deal as well.

The guys have really tapped into a set of natural behaviors of students and then taken these behaviors to a new level.

Hi Bambi,

Maybe you have addressed this issue before, but just in case you haven't:

What method, do they use to value these social networks?

Could you please shed more insight on this?

Sincerely

-Craig Chirinda

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