AfterDawn: Tech news

Zuckerberg loses $2.2 billion just one day after Facebook IPO

Written by Andre Yoskowitz @ 21 May 2012 9:47 User comments (10)

Zuckerberg loses $2.2 billion just one day after Facebook IPO One of the richest men in the world has just gotten a little bit poorer.
Facebook CEO Mark Zuckerberg's fortune fell $2.2 billion today after investors and Wall Street sold off shares in Facebook, dropping the company's stock 11 percent just one day after it went public.

After today's fall, the company is valued at $93 billion and Zuckerberg has a 24 percent share, making him the 26th richest person on the planet.

Other co-founder Dustin Moskovitz and Eduardo Saverin saw their shares depreciate, as well, with Moskovitz's $4.5 billion in shares down $580 million and Saverin's $1.8 billion stake was down $230 million.

The company has been quick to spend its newfound capital, purchasing social gifting app Karma and paying $1 billion for the ever-popular iOS and Android photo editor Instagram.

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10 user comments

122.5.2012 01:54

how about myspace haha

222.5.2012 03:51

Poor guy. Can anyone post his paypal account here so I can lend him some money?

"You know, it seems that quotes on the internet are becoming less and less reliable." -Abraham Lincoln.

322.5.2012 09:54

he aint poor though

422.5.2012 13:52

Oh boy, his "imaginary" value decreased,he's so f@#!ng poor now, someone cry me a river. That's what happens with volatile fluff built on air...

522.5.2012 14:19

The whole world said FB was over-valued. This is hardly a surprise.

Oh, Im sorry... Did the middle of my sentence interrupt the beginning of yours?

622.5.2012 21:59

He's still a shmuck thief that ripped off an idea as did Gates............

725.5.2012 09:20

Why FB is so expensive? Isn't free?

825.5.2012 10:25

Originally posted by salsa36:
Why FB is so expensive? Isn't free?
It's not expensive, it has economic value in that it has the ability to make lots of revenue through advertisements and selling statistical data to company's through data mining using the millions of FB users. Through profiling them.

The statistical data you can collect and then mine for information about how different types of people interrelate and their likes dislikes etc, is worth a lot of money. Businesses pay a lot for it because they can use it to better promote products and design other products for the consumer to buy that they actually want/need to buy.

If you can understand the market you can take advantage of it.

All this means that FB (The business/corporation) can be valued so highly because it has the potential to make lots of money.
This message has been edited since its posting. Latest edit was made on 25 May 2012 @ 10:26

prophecie out...

925.5.2012 11:47

Couldn't have happened to a nicer guy.

1027.5.2012 09:29

Facebook only earns 1 billion a year though.

People seen 900 million active users and thought to value it at 150 billion then though no hang on that might be too much, so it got dropped to a proper figure like 110 billion.

in the real world though it was never worth 100+ billion it should have gone up for around 10 20 billion at the most.

once people started buying shares once they had gone up very slightly, the owners sold them out, Mark Zuckerberg's sold some shares plus a few other at fairly large % like 5 to 10% and the share price will only drop pretty rapid.

Mark Zuckerberg is only a kid he really shouldn't have gone the whole public thing, he'll probably be kicked oput in a year or 2 for not being a good CEO people already want to linch him.

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