It’ll take FB over 9 1/2 years to pay off Instagram

#1

Post by Shakakai » Tue, Apr 10, 2012, 4:42 AM UTC

It’ll take FB over 9 1/2 years to pay off Instagram
shakakai.tumblr.com

Re: It’ll take FB over 9 1/2 years to pay off Instagram

#2

Post by LinaLauneBaer » Tue, Apr 10, 2012, 8:50 AM UTC

The numbers are just mind-boggling.

FB paid $25 per user. According to Asymco [1] Google makes just $1.70 per android device/year. Are we seeing another bubble coming up? Of course one acquisition does not make a bubble... but what do you think?

[1] http://www.asymco.com/2012/04/02/android-economics/

Re: It’ll take FB over 9 1/2 years to pay off Instagram

#3

Post by Shakakai » Tue, Apr 10, 2012, 6:31 PM UTC

LinaLauneBaer wrote: post #2

The numbers are just mind-boggling. FB paid $25 per user. According to Asymco [1] Google makes just $1.70 per android device/year. Are we seeing another bubble coming up? Of course one acquisition does not make a bubble... but what do you think? [1] http://www.asymco.com/2012/04/02/android-economics/

Agree, $25 per user is insane. Not sure if this is necessarily part of a bubble or the result of some shady dealing for the VC's involved to pick up more Facebook stock to make their portfolio's look like winners.