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Friday, May 18, 2012

Facebook starts public sale of its stock

Report from voanews.com:

FacebookFacebook, the world's biggest social media website, started selling stock to the public on Friday, with its initial $38 share price edging above $40 in the first hours of trading.

Facebook’s chief executive, Mark Zuckerberg, signaled the start of trading on the Nasdaq exchange in New York by remotely ringing a bell from company headquarters across the continent in California.

The popular social networking site, with 900 million users worldwide, raised about $16 billion from the stock sale. That is one of the biggest stock debuts in U.S. corporate history and rivaled only by financial services company Visa and automaker General Motors. The stock offering drove Facebook’s value to at least $104 billion, making it one of the most valuable U.S. companies.

But contrary to some investors’ hopes, the stock price did not soar in the first day’s trading. The share price stayed in a relatively narrow range, topping $42 at one point, then falling back to the opening $38 level before settling above $40 in mid-afternoon trading.

Zuckerberg, who turned 28 earlier this week, started the popular social networking site just eight years ago in his college dorm room at Harvard. As investors bought shares, they became part owners of the company, but Zuckerberg will still control more than 55 percent of Facebook's voting stock.

Some analysts expect millions of Facebook shares will be purchased in the first hours of trading because of the high demand to own part of such a ubiquitous and recognized product. The stock is being traded under the symbol “FB.”

But others are advising clients to wait and see whether the company can still continue to grow and how much advertising it can sell before buying shares.

Facebook’s advertising revenue growth has slowed in recent months, and doubts about its long-term viability were heightened earlier this week when General Motors announced it was pulling its paid advertising off the website.

Facebook has also yet to devise a strategy to attract advertising on mobile devices like smartphones or tablet computers.

Originally published on voanews.com
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Opinion Articles

And our survey said...

Mark Bridge writes:

The coolest person in the country admires the French president's wife and lives in East London. Oh, and they use a BlackBerry by day but an iPhone by night. That's what recent surveys say. Nonsense, isn’t it?

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The mobile phone tries to grow up

Mark Bridge writes:

The end of civilisation. The dawn of the future. Mobile phones are somewhere in the middle. Once seen as novelties for people with too much money, the mobile phone is now ubiquitous. And with that ubiquity comes an acceptance that they’re just tools. Doesn't it?

Which is why I was surprised to see a news article from Voice, a trade union that wants mobile phones banned from nurseries because of concern about inappropriate photographs.

Author: The Fonecast
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Sounding good to me

Mark Bridge writes:

"Sounding good to me". So sang Charlie Dore, back in the day when radio stations started to realise that quality was as important as quantity. "AM, FM, I feel so ecstatic", opined Cliff Richard, although I’m betting he’d have preferred the lack of hiss and crackle on FM stations.

Yet no-one’s really thought much about the quality of a phone call. Until now.

Author: The Fonecast
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The landline phone may be fading... but its number still remains

Mark Bridge writes:

In last weekend’s Sunday Times, Ali Hussain asked "Is this the end for the landline phone?"

He pointed out that the average mobile bill almost halved between 2003 and 2008, while landline bills fell by less than a fifth – which has meant the average mobile bill is now lower than the average landline bill. He went on to list fibre-optic broadband, mobile broadband, mobile calls, VoIP calls and satellite phones as alternatives to using fixed-line phones.

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Mixed verdict on mobile phones as cancer cause

Art Chimes of voanews.com writes:

Nearly two-thirds of the people on Earth now use mobile telephones, according to a study by the International Telecommunications Union. But how safe are those phones? Scientists still aren't sure, but some evidence is starting to suggest there may be danger along with the convenience.

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