China Wants To Buy Facebook Stock

#1

Post by taylorbuley » Tue, Jul 05, 2011, 3:43 PM UTC

China Wants To Buy Facebook Stock
blogs.forbes.com

Re: China Wants To Buy Facebook Stock

#2

Post by Shenglong » Tue, Jul 05, 2011, 4:26 PM UTC

Is it safe to say Facebook can probably double its userbase by going into China? Morality aside, this could be immensely profitable. More, Google has already backed out of China... so wouldn't it only make sense for Facebook to seize the opportunity to expand without Google+ competition?

Re: China Wants To Buy Facebook Stock

#3

Post by jayp08 » Tue, Jul 05, 2011, 4:26 PM UTC

I dont think that will happen ...unless facebook's only interest is to make bucket loads of money. If China does end up buying stake in fb, fb risks loosing a lot of existing users.

Re: China Wants To Buy Facebook Stock

#4

Post by pavel_lishin » Tue, Jul 05, 2011, 4:34 PM UTC

> A billion-dollar investment does not buy much influence in a site expected to be worth a hundred times that when it goes public.

Really? Facebook is going to be worth a hundred billion dollars?

Re: China Wants To Buy Facebook Stock

#5

Post by pavel_lishin » Tue, Jul 05, 2011, 4:35 PM UTC

jayp08 wrote: post #3

I dont think that will happen ...unless facebook's only interest is to make bucket loads of money. If China does end up buying stake in fb, fb risks loosing a lot of existing users.

> ...unless facebook's only interest is to make bucket loads of money

Aren't they a corporation? What other interest would they have?

And Facebook is probably going to lose quite a few users to Google+ anyway - I can't think of anyone who would eschew Google+ for Facebook, but then suddenly quit because China invested.

Re: China Wants To Buy Facebook Stock

#6

Post by hollerith » Tue, Jul 05, 2011, 4:36 PM UTC

The facts in OP lower my opinion of FB even more.

Re: China Wants To Buy Facebook Stock

#7

Post by wisty » Tue, Jul 05, 2011, 4:43 PM UTC

jayp08 wrote: post #3

I dont think that will happen ...unless facebook's only interest is to make bucket loads of money. If China does end up buying stake in fb, fb risks loosing a lot of existing users.

Not really. China will get non-voting stock. I'd pay money to see a Chinese representative trying to explain to Mark "I'm the CEO, bitch" Zukerberg why their minority non-voting stock means Facebook MUST follow Chinese laws OR ELSE.

Re: China Wants To Buy Facebook Stock

#8

Post by tatsuke95 » Tue, Jul 05, 2011, 4:43 PM UTC

pavel_lishin wrote: post #4

> A billion-dollar investment does not buy much influence in a site expected to be worth a hundred times that when it goes public. Really? Facebook is going to be worth a hundred billion dollars?

Give or take, that's the latest figure being tossed around. I believe the last second market buy-in was at a valuation of $87.5 billion, and that was in May (someone correct me if I'm wrong).

Adding 10s of billions of implied market cap a quarter. The bubble knows no bounds. Interesting product, interesting stock. Regardless, does anyone else think this is going to go down as the biggest tech stock blunder in history? Can anything from 2000 touch this? It's madness, and infinitely intriguing.

Re: China Wants To Buy Facebook Stock

#9

Post by Zakuzaa » Tue, Jul 05, 2011, 4:46 PM UTC

pavel_lishin wrote: post #4

> A billion-dollar investment does not buy much influence in a site expected to be worth a hundred times that when it goes public. Really? Facebook is going to be worth a hundred billion dollars?

Yes, most likely.

Re: China Wants To Buy Facebook Stock

#10

Post by mef » Tue, Jul 05, 2011, 4:54 PM UTC

The article confusingly states first that China's stake would not be influential, and then states that the apparent reason for China's interest is to have "control in the long run".

Even if China's stake was influential, why would they need it in order to censor Facebook? They censor plenty of sites in which they have no stake whatsoever.