Facebook Devalued Itself By $5 Billion

Much hype will be made in the press today about Facebook raising an additional $200 million from Digital Sky Technologies valuing it at a hefty $10 billion. Granted this sounds like a lot, but isn’t as much as its 2007 valuation. Back then Microsoft threw $240 million into the ring which gave Facebook a worth of $15 billion.

DTS the Russian owned company walks out of the deal with a 2% stake in Facebook, which isn’t too shabby when you consider that according the Alexa, Facebook is now the 4th biggest site Online. But you have to wonder whether ad revenue alone will be able sustain Facebook alone, especially in a downturn market. So you have to wonder what big plans Facebook have under its sleeves, search maybe?

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