Facebook on track to make $1.1B revenue in 2010(techcrunch.com)
techcrunch.com
Facebook on track to make $1.1B revenue in 2010
http://techcrunch.com/2010/06/22/facebook-revenues/
4 comments
I'm more interested in seeing the number for profit.
I am guessing the profit is nothing to brag about, otherwise I am sure they would have...
He clearly states they don't care about profit: "At this point in the company’s evolution, I don’t see a huge need for the company to be throwing off a huge amount of profit. What’s the point? [...] If you prematurely optimize, you might get a bigger piece of a smaller thing."
On the other hand, they already have 400 million users, which is about 20% of the entire internet population in the whole world[1]. Part of me is thinking what exactly are they waiting for? Something tells me even if they were at 100% internet population, they would still be making meager profits and have an underwhelming IPO. But then again I'm a glass half empty kind of guy when it comes to Facebook.
[1]http://www.internetworldstats.com/stats.htm
[1]http://www.internetworldstats.com/stats.htm
20% of the internet population what percent of the time? for what subset of their habits?
No matter. It is still a good number to play with on their P&L statement. All they need to do is soundly (or incrementally) adjust their outgoing numbers then the profit will definitely increase.
Well Facebook has three major expenditures: Offices, Servers, 1400 salaries. No matter how you slice it, these guys are making a nice profit.
So they're making $2.50 per user per year? Nice one.
How much are they making per employee?
$2.5 / user * 1.1m users / developer = $2,750,000/developer
http://blog.ebuddy.com/index.php/ebuddy-blog/beating-faceboo...
http://blog.ebuddy.com/index.php/ebuddy-blog/beating-faceboo...
As a matter of comparison, let's look at Google.
$23.6 bn in 2009 (don't have 2010 numbers, and don't want to speculate).
I don't know how many engineers they have, but I've heard the number 10,000 bandied about.
The below says about 20,600 employees total, so my hunch is that 10k might be a little bit high. http://investor.google.com/documents/20100331_google_10Q.htm...
Given the 23.6 bn is probably low for 2010, and 10,000 engineers is probably a bit high, the resulting value of 2.36 million is a lowball estimate. The real number is probably closer to, oh, say, $2,750,000 / engineer :D
$23.6 bn in 2009 (don't have 2010 numbers, and don't want to speculate).
I don't know how many engineers they have, but I've heard the number 10,000 bandied about.
The below says about 20,600 employees total, so my hunch is that 10k might be a little bit high. http://investor.google.com/documents/20100331_google_10Q.htm...
Given the 23.6 bn is probably low for 2010, and 10,000 engineers is probably a bit high, the resulting value of 2.36 million is a lowball estimate. The real number is probably closer to, oh, say, $2,750,000 / engineer :D
All employees are not developers, however. There are apparently 1400+ employees (http://www.facebook.com/press/info.php?factsheet), so that would make 1.1B / 1400 = $786k per employee of revenue.
Here are some numbers to compare it to: http://money.cnn.com/magazines/fortune/fortune500/2010/perfo...
Apparently it's a bit over average for the "Internet Services and Retailing", but not as high as eg. Google.
Here are some numbers to compare it to: http://money.cnn.com/magazines/fortune/fortune500/2010/perfo...
Apparently it's a bit over average for the "Internet Services and Retailing", but not as high as eg. Google.
[deleted]
Good question. The profits will be interesting to see, anyway.
What do you think the minimum investment for buying Facebook's stock at the IPO will be?
wow, sickest PR team ever.