Facebook Plans To Start Large-scale Acquisition In 2011

By:


Facebook is planning to acquire more companies to improve their website design, promote the quality of services and enhance the capabilities of its mobile products. It is partly for a better response to Google and Twitter's challenges.

Facebook's director of business development said in an interview that the company planned to start a total of 20 acquisitions in 2011. It is a huge leap compared with the 10 acquisitions in 2010 and one acquisition in 2009.

Facebook wants to be able to improve the site design to attract the users to spend more time on the site. In addition enhancing the function of mobile products can also bring more mobile device users. Currently Facebook is facing the increasingly fierce competition from Google and Twitter.

Companies need to improve the platform to ensure the healthy operation of the site, thus contributing to the company's rapid development. So far this year, Facebook has completed 13 acquisitions. A Facebook group chat service on a mobile device launched in this month is thanks to a recently completed acquisition.

Facebook's revenue model depends mainly through advertising. As a private company, Facebook does not need to disclose their financial status. However, informed sources have pointed out in the May of this year, Facebook's profit before interest, taxes, depreciation and amortization is more than $ 2 billion.

In addition, Facebook has received more than $ 2 billion investment this year, which also includes $ 1.5 billion investment of Goldman Sachs Group in January.

The previous size of the acquisition of Facebook's is not large. Some of the acquired company even has only 1 to 2 employees. According to data provided by SharesPost Stock Exchange, the current market valuation of Facebook is up to $ 72.5 billion, far more than the market value of listed companies such as eBay and Yahoo.

The analysts said Facebook can use cash and stock to start the acquisition. In addition, Facebook can also sell the company's shares in the secondary market to raise more funds. The analysts said: "I do not think Facebook is now short of money. So funds will not be a major obstacle to the acquisition of Facebook."

Facebook had launched a number of acquisitions. The main purpose is to get the talent in the acquired company. Facebook's competitors are also actively mining personnel. The search engine giant Google has announced that this year will be approximately 6,000 employees recruited worldwide. Facebook must be fully prepared for future large-scale development.


About the Author:
I am Amanda Xia from frbiz.com, and my work is to promote a free online trade platform. http://www.frbiz.com contains a great deal of information about facebook computer , mobile phone , apple computer imac , and more.



Article Originally Published On: http://www.articlesnatch.com


|

Loading...
Related....
Videos...

Recent UnCategorized Articles

Comments

Still can't find what you are looking for? Search for it!

Loading

Copyright 2005-2011 ArticleSnatch, LLC - All Rights Reserved.
Privacy Policy | Terms of Service.