The Case For Apple Buying Facebook 255
The article makes the case that Jobs has been hinting that he wants to actually spend some of the $51 billion Apple has been sitting on, and that Facebook is a likely candidate. Considering how thin the Ping social network is, and the integration issues the two companies have had, there are some good reasons for such a deal. And a heck of a lot of reasons why not.
Yep.. (Score:5, Insightful)
Not that stupid (Score:5, Insightful)
simple... (Score:5, Insightful)
Re:Yep.. (Score:5, Insightful)
Netscape, AOL, Facebook (Score:5, Insightful)
Once upon a time, there was this amazing company called Netscape. It was so fantastic that this other company called AOL bought it for over $4 billion.
Later on, there was this amazing company called AOL. It was so fantastic that this other company called Time Warner believed it was valued it at something like a quarter trillion dollars, so merged with it.
Later on, there was this amazing company called Facebook...
Doubt it (Score:4, Insightful)
Strategic partnership, sure, but outright purchase? No way. Sure, it's temping to consider the ways Facebook could interface with iOS, but Facebook is valued somewhere in the neighborhood of $30-35B, and Apple only has $50B cash on hand. Facebook is too expensive for what it is -- a neatly designed hack for people to make their own web pages and connect with others. The value of the company lies in the number of active accounts, not the technology itself. And for Apple, a technology company which already has an accomplished marketing department and more publicity than it can ever use, the purchase just doesn't have enough value.
Besides, Facebook has already displaced Google in the areas the two compete in. There would be nothing to add to that particular rat race, but the danger that Google could focus on a single enemy instead of several. Yhe only reason to buy a company is to harness the potential innovation and future success when integrated with your own. Buying a fully-fledge corporation relying on something as fickle as consumer taste is a terrible idea.
Why didn't I think of this? (Score:5, Insightful)
It's ingenious! How could it not work?
Just like when AOL bought Llamasoft. No, you know what would be a better example? When Fox bought MySpace. That worked out well, right?
This is moronic. This is "I need column inches, and Apple has money and gets pageviews, and Facebook gets page views, so I'll write a column..." nonsense.
What would Apple get out of this? A big messy architecture (in maintaining all those servers, integrating OS X with FB)? A giant target on it's back for even more privacy lawsuits? I don't see any value to Apple in buying Facebook. It would make a ton more sense to just buy up some good ISVs or more hardware companies to help design their products in house.
Re:Not that stupid (Score:5, Insightful)
If Apple wanted to buy Facebook, they should have done it a few years ago, or perhaps a few years in the future. If Apple buys it now, they have a very limited amount of time before the feature is still a feature.
FB has very little IP, the only thing they have is users and brand recognition but MySpace also had that but essentially lost it.
Re:Yep.. (Score:5, Insightful)
Its arguably the most long lived social website.
Re:Shelf Life (Score:3, Insightful)
While I agree with the concept, changes in social media dominance might not come so quickly.
Before Google came along, a new search engine became dominant every few years. With Google, the situation seems to have stabilized, Bing took a bite, but they don't seem to be going further with the momentum.
MySpace (2003) is only 1 year older than Facebook (2004). Friendster was founded in 2002, the early "baby" years were tumultuous, but the landscape seems to have matured such that significant changes are slower to come by. New features of upcoming sites can be co-opted before they threaten the big players, as you might have seen with Facebook taking on some Twitter-like notions, such as the feed.
Stretch that dollar. (Score:5, Insightful)
They could take half of that cash and buy Yahoo, Adobe, and Novell. Why mess with Facebook?
Re:Maybe Facebook would get a real UI (Score:1, Insightful)
Right ... Apple interface, my guess they'll remove 90% of the links, buttons and features, and put the rest with glossy graphics and expect you to congratulate them.
facebook already past it's prime (Score:4, Insightful)
Re:Yep.. (Score:2, Insightful)
My initial thought was: At last, they might even screw it up badly enough that people would give up on that terrible, soon-to-beat-TV-in-IQ-sucking-potential idea. Stuff like requiring you to install iTunes to post or some other typical Apple stroke of genius.
Then my brain started working again and I realized that Facebooks success is precisely the same as Apples of late: it relies on people being so absorbed in their own image that they become oblivious to all the horrors lurking beneath shiny, polished skin.
I'll take a moment to note OS-X as a temporary exception but we all know they dream to replace that with iOS as soon as they've dumbed their user base down enough.
Re:facebook already past it's prime (Score:5, Insightful)
Both my wife and myself have deleted our facebook accounts. Last time I was in that situation it was with Myspace. Remember Myspace?
What would give you the idea that you and your wife are leading indicators rather than anomalous outliers?
Re:Yep.. (Score:3, Insightful)
In case you don't understand: I'm saying you're a self-absorbed, pretentious, yet dumbed-down, computer person.