Is Facebook Profitable?

Discussion in 'Community Discussion' started by Ahsen, Jun 19, 2009.

  1. Ahsen macrumors newbie

    Joined:
    Jun 19, 2009
    #1
  2. Consultant macrumors G5

    Consultant

    Joined:
    Jun 27, 2007
    #2
    Many web sites are not profitable.

    Youtube lost tons of money.

    They want to be the market leader and then charge (say for ads), but typically a new service comes out before they can make money.
     
  3. web_god61 macrumors regular

    web_god61

    Joined:
    May 14, 2004
    #3
    Read up on what happened in the 90's when the web bubble collapsed and you'll understand how many sites like facebook can be valued in the the millions of dollars but be worth almost nothing at the same time.

    These companies are only as valuable as the highest bidder is willing to pay.

    This can sum up the entire industry.
     
  4. web_god61 macrumors regular

    web_god61

    Joined:
    May 14, 2004
  5. BoyBach macrumors 68040

    BoyBach

    Joined:
    Feb 24, 2006
    Location:
    UK
    #5
    Facebook doesn't have to make a profit. That'll be a problem for Google or Microsoft to figure out when they buy it for billions of dollars. ;)
     
  6. rfrankl macrumors 6502

    Joined:
    Apr 15, 2006
    #6
    Like the above poster said, look at the 90's and the internet bubble. Most websites that were destined for fame never made money and are now out of business. Amazon just started making money recently. All those early years were just accounting smoke.
     
  7. floyde macrumors 6502a

    floyde

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    Apr 7, 2005
    Location:
    Monterrey, México
  8. Malfoy macrumors 6502a

    Malfoy

    Joined:
    Nov 1, 2005
    #8
    well it might not be that the costs are necessarily high as they have a very large amount of them.
     

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