The darkest hour is just before dawn I’m sure is what Facebook executives must be singing under their breath. The stock dipped below $20 a share for the first time after its not too long May 18th IPO at $38 per share. Not good. More bad news heaped up when the company’s filings revealed Facebook has 8.7 million “fake accounts” out of its 955 million active users. That is about an 8 ½ % dent on its original numbers. Even though Facebook’s future is grim to many, they still nearly have 1 billion active users.
Linked, the professional networking site, was a whole other story today releasing its 2nd Quarter earnings. They did $228 million in revenue and $.03 in earnings per share: both numbers beat guidance. The co-founder, Reid Hoffman, now chairman of LinkedIn is smart and might have better business acumen than some of his rivals. During this quarter bad news did strike after 6.5 million passwords came up missing. It seems the company recovered without much harm.
Twitter is, in many eyes, an evolved RSS (really simple syndication) feed where many individuals and businesses forecast the latest and greatest throughout the day. The site certainly has the fastest feed per 100 followers, friends, connections, etc., relative to the other networking sites. It’s more real time. So it makes sense they have a political index called the Twindex that aggregates millions upon millions of tweets and with a formula discerns the overall opinion of Twitter users about the candidates. The 2012 Olympics may have already foreshadowed how significant this Twitter mechanism will play out during the presidential race.