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Facebook … the long term survival & Viability

May 25, 2012 Leave a comment

Change is inevitable, survival is optional

I think that is a truism, and seems to be ignored, is that nothing is permanent, we are constantly in a change cycle … the old generally gives away to the new … few companies from my youth still exist … companies such as IBM and GE come to mind, will the modern day companies be adaptable to change as these companies?

I wonder about FaceBook, from my point of view I have never understood the hype … for me it is essentially a modern day bulletin board … never believed how it could make the sort of income numbers the “industry sages” tell us it should, and with the recent Morgan Stanley fiasco over future income and hence profitability … there seems to be a dawning of this realisation.

I cannot see it blooming … if anything it will essentially stay stable, more likely contract from an income point of view.

It seems with the move of Ford out of Facebook advertising they may be one of the first to see the writing on the wall … at the end of the day .. advertising has to deliver … the money spent always comes back to results …

Over the next little while I will also look at other companies who are currently flavour of the month … next up will be Twitter.

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