Facebook is worth $______
One of the dirty little secrets about the internet is that much of the advertising inventory is sold as remnants for well under $1 per thousand pageviews. The CPM that advertisers would pay to be on the front page of CNN Money could be closer to $40. But, a large portion of the advertising run online is dancing aliens selling mortgages. This is because much of the internet's traffic cannot be organized and sold to highly targeted audiences. So, this inventory goes for a song.
Social network audiences probably carry the lowest value of any ad inventory on the web. An educated guess would be that if MySpace will do $200 million in revenue this year, Facebook might do $50 million. And, that is not likely to hit $500 million anytime soon, It may never happen.
2 votes
