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Facebook goes public. Float or sink?

Hugh Macpherson

Facebook is selling shares.

For most people the interesting question arising from this story is where it will make its money.

I’m more interested in the impact on its management of its reputation.

Going public is going to increase public and media scrutiny on its operations. Empires that have failed to deal with reputational issues before opening themselves up to the public have sunk

However, Facebook is a social creature. Its turnover will doubtless be generated through advertising. It has 900 million users, all happy to upload all sorts of personal information companies will pay through the nose to access. As such making money is dependent on the number of users it has.

So what would it take for users to flock elsewhere to get their networking fix? Or is Facebook simply too big?

I’m inclined to think that Facebook is the floater that just won’t go down.

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