{"id":1257,"date":"2007-10-26T10:06:35","date_gmt":"2007-10-26T15:06:35","guid":{"rendered":"http:\/\/selectmetrix.com\/blogs\/2007\/10\/facebook-microsoft-and-banner-ads\/"},"modified":"2007-11-05T10:18:10","modified_gmt":"2007-11-05T15:18:10","slug":"facebook-microsoft-and-banner-ads","status":"publish","type":"post","link":"http:\/\/selectmetrix.com\/blogs\/2007\/10\/facebook-microsoft-and-banner-ads\/","title":{"rendered":"Facebook, Microsoft And Banner Ads"},"content":{"rendered":"<p><a target=\"_blank\" href=\"http:\/\/blog.inc.com\/archives\/2007\/10\/25\/why_microsoft_friended_facebook.html?partner=rss\">From Inc.com regarding Microsoft&#8217;s staggering investment in Facebook<\/a> (emphasis mine):<\/p>\n<blockquote><p>The software megalith paid $240 million for a 1.6 percent equity stake in the fast growing social network. That&#8217;s a lot of money, but the real reason for the Facebook brouhaha is the valuation: $15 billion dollars for a company that has revenues estimated at $150 million, profits of approximately $30 million, a flip-flop wearing 23 year old of a CEO. The idea that Facebook might be worth $1 billion let alone $15 billion seemed like near insanity only a year ago, which makes Microsoft&#8217;s investment a huge coup for Mark Zuckerberg.<\/p>\n<p><strong>But look beyond the numbers, and you&#8217;ll see that this deal has very little to do with valuation. It&#8217;s about advertising.<\/strong> Buried underneath the headlines about Zuckerberg becoming really rich, is the fact that Microsoft became Facebook&#8217;s exclusive advertising partner as part of the deal and will now be responsible for all of Facebook&#8217;s third party ads. This expands upon an earlier agreement, signed in 2006, that made Microsoft the U.S. provider of banner ads.<\/p>\n<p>I&#8217;m not sure how much the right to serve third party banner ads is worth, but it&#8217;s definitely substantial.<\/p><\/blockquote>\n<p>I guess it is substantial. <a target=\"_blank\" href=\"http:\/\/selectmetrix.com\/blogs\/2007\/10\/this-makes-banner-ads-look-cheap\/\">So much for making banner ads look cheap.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>From Inc.com regarding Microsoft&#8217;s staggering investment in Facebook (emphasis mine): The software megalith paid $240 million for a 1.6 percent equity stake in the fast growing social network. That&#8217;s a lot of money, but the real reason for the Facebook brouhaha is the valuation: $15 billion dollars for a company that has revenues estimated at $150 million, profits of approximately $30 million, a flip-flop wearing 23 year old of a CEO. The idea that Facebook might be worth $1 billion let alone $15 billion seemed like near insanity only a year ago, which makes Microsoft&#8217;s investment a huge coup for Mark Zuckerberg. But look beyond the numbers, and you&#8217;ll see&hellip; <a class=\"read-more\" href=\"http:\/\/selectmetrix.com\/blogs\/2007\/10\/facebook-microsoft-and-banner-ads\/\">Read More<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"bgseo_title":"","bgseo_description":"","bgseo_robots_index":"","bgseo_robots_follow":"","_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[33],"tags":[],"class_list":["post-1257","post","type-post","status-publish","format-standard","hentry","category-networking"],"jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p5Oho-kh","jetpack-related-posts":[{"id":1202,"url":"http:\/\/selectmetrix.com\/blogs\/2007\/09\/ms-facebook\/","url_meta":{"origin":1257,"position":0},"title":"MS Facebook","author":"Derrick Moe","date":"September 25, 2007","format":false,"excerpt":"From the rumor mill: Setting the stage for a possible bidding battle, Microsoft Corp. is mulling an investment in Facebook Inc. that would value the rapidly growing online hangout at $10 billion or more, according to a report published Monday. Citing unnamed people familiar with the matter, The Wall Street\u2026","rel":"","context":"In &quot;Networking&quot;","block_context":{"text":"Networking","link":"http:\/\/selectmetrix.com\/blogs\/category\/networking\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":432,"url":"http:\/\/selectmetrix.com\/blogs\/2006\/11\/the-blogosphere\/","url_meta":{"origin":1257,"position":1},"title":"The Blogosphere","author":"Derrick Moe","date":"November 9, 2006","format":false,"excerpt":"Abcnews.com references the latest Technorati summary of the blogosphere in A Billion Bloggers? As you may have guessed from the title, there are many blogs out there. A taste of some statistics from the lengthy article: Put simply, the growth of the blogosphere since March 2001 is the upward trajectory\u2026","rel":"","context":"In &quot;Communication&quot;","block_context":{"text":"Communication","link":"http:\/\/selectmetrix.com\/blogs\/category\/communication\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1319,"url":"http:\/\/selectmetrix.com\/blogs\/2007\/12\/a-future-shift-in-sourcing-candidates\/","url_meta":{"origin":1257,"position":2},"title":"A Future Shift In Sourcing Candidates","author":"Derrick Moe","date":"December 4, 2007","format":false,"excerpt":"Well, the future is now when it comes to this topic.\u00a0 The social network sites are going to have a dramatic impact on finding strong sales candidates.\u00a0 First, this may be slightly off topic, but MarketingProfs.com offers up this article - Facebook: Changing Advertising Forever: At the November 5 launch\u2026","rel":"","context":"In &quot;Sourcing&quot;","block_context":{"text":"Sourcing","link":"http:\/\/selectmetrix.com\/blogs\/category\/hiring\/sourcing\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":442,"url":"http:\/\/selectmetrix.com\/blogs\/2006\/11\/powerpoint-muggings\/","url_meta":{"origin":1257,"position":3},"title":"PowerPoint Muggings","author":"Derrick Moe","date":"November 15, 2006","format":false,"excerpt":"I must fall in the masochistic side of PowerPoint - I actually enjoy PowerPoint presentations. CareerJournal offers this article - Tips for PowerPoint -- Please Spare Us - which comments on many pet peeves regarding Microsoft's presentation software. Despite the barbs: ...there are an estimated 30 million PowerPoint presentations given\u2026","rel":"","context":"In &quot;Communication&quot;","block_context":{"text":"Communication","link":"http:\/\/selectmetrix.com\/blogs\/category\/communication\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1290,"url":"http:\/\/selectmetrix.com\/blogs\/2007\/11\/linkedin-on-topfor-now\/","url_meta":{"origin":1257,"position":4},"title":"LinkedIn On Top&#8230;For Now","author":"Derrick Moe","date":"November 15, 2007","format":false,"excerpt":"Online Media Daily has a news brief regarding the fastest growing social networking sites.\u00a0 AMONG TOP SOCIAL NETWORKS, LINKED-IN was the fastest-growing over the last year, according to October ratings released Wednesday by Nielsen Online. The site geared toward professional users drew 4.9 million visitors last month, up from 1.7\u2026","rel":"","context":"In &quot;Networking&quot;","block_context":{"text":"Networking","link":"http:\/\/selectmetrix.com\/blogs\/category\/networking\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1478,"url":"http:\/\/selectmetrix.com\/blogs\/2008\/03\/negative-penny-flow\/","url_meta":{"origin":1257,"position":5},"title":"Negative Penny Flow","author":"Derrick Moe","date":"March 24, 2008","format":false,"excerpt":"Here's a fun way to start your Monday - this sounds like the premise to a Steven Wright joke: \"It costs almost 1.7 cents to make a penny,\" said U.S. Mint director Ed Moy. Each year, the U.S. Mint makes 8 billion pennies, at a cost of $130 million. American\u2026","rel":"","context":"In &quot;Anecdotes&quot;","block_context":{"text":"Anecdotes","link":"http:\/\/selectmetrix.com\/blogs\/category\/hiring\/anecdotes\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"jetpack_featured_media_url":"","_links":{"self":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/posts\/1257","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/comments?post=1257"}],"version-history":[{"count":0,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/posts\/1257\/revisions"}],"wp:attachment":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/media?parent=1257"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/categories?post=1257"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/tags?post=1257"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}<!-- WP Super Cache is installed but broken. 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