Models & Bottlenecks
The mostly downward direction of $FB since its infamous IPO shows the true colours of global markets. They react mostly to the emotional drive of mass human action based on incomplete data (such as Friday’s false positive on the US July jobs report). Never mind that the service has close to 2 billion eyeballs linked up (October update: over 2 billion eyeballs), Z wears a hoodie!
If the big F wants to shirk its shakiness in front of the suits, it needs a new revenue model. Advertising is so Madison Avenue, not Information Superhighway (no offense; love New York). I’m not saying they should ditch ads, but look for something additional. What that something is is for them to ideate, create and iterate.
The point is: simply divulging a half-original revenue concept on Bloomberg will send every kind of trader – human and bot – into a friendzy. Like?