Christopher Roberts

What we now know about Facebook

3rd February 2012 21 Replies Christopher Roberts

As you may have heard, Facebook plans to become a public limited company (plc) and float on the stockmarket. It hopes that this will raise around the sum of $5 billion USD (this is only about half what most people thought it would try to raise) in finance for the business, a colossal amount!

Thanks to the flotation it is estimated that around 30% (roughly 1,000 people) of the companies employees will become millionaires! That said, Mark Zuckerberg is reducing his annual salary to just $1 as of January next year. Why? Because he will have shares estimated at the value of around $100 billion!

Anyway, due to Facebook wanting to become a plc, it needed to release more detailed financial data than it ever had before, into the public domain. This means that we now know much more about this previously rather secretive internet giant, than ever before!

Finances

Thanks to its choice to become a plc, we now know that Facebook makes 85% of its income from advertising. Furthermore we know that last year it made almost $4 billion USD! Out of this, it turned an impressive 25% into profit, bringing it in $1 billion (supposedly exactly) in net profit.

It is now possible to value to company as a whole, and it is thought to be worth $100 billion USD. To compare that to other industry giants, Amazon is valued around the same amount, eBay is values at about half that figure, and Google is thought to be worth double that.

Ownership

Facebook will still be owned and controlled largely by Mark Zuckerberg. He currently owns 28.4% of Facebook and has a majority in terms of voting rights with over 50% of votes. Basically Zuckerberg owns Facebook still, and he seems to want to stay in the driving seat for a while yet!

Users

We now also know that Facebook have around 845 million active users around the world, of whom, around 450 million visit the site very regularly – that is a crazy amount!

The Future?

Facebook would be worth nothing without its users. Some people say that its users are not Facebook’s customers, but in fact the networks products. If people get bored or move on, the site will die.

If you were buying shares in an internet based business, Google would probably be a much safer bet than Facebook, as its future looks much more certain. Facebook may pay massive dividends to investors in the future, or it may go into decline and cost investors a collective $5 billion!

Friends Reunited was once great, now it stands in Facebook’s massive shadow, as does Myspace, Bebo, Foursquare and many other social media sites. All these sites how now been superseded by Facebook, the question is, will Google Plus or something else dwarf Facebook? Personally I believe that in 10 years, there will be something bigger, but we will just have to wait and see 🙂

My 7 Links – An interesting blogging idea

2nd February 2012 15 Replies Christopher Roberts

The other day I got an email from one of our commenters, Peter (from Computer How to Guide) in which he said that I had been nominated to continue his ‘7 Links Challenge‘.

After reading Peter’s article, I did a bit of digging and managed to find out what the 7 Link Challenge is, and who started it off.

The 7 Link Challenge (or My 7 Links as it is called by its founder) is where a blogger writes about seven articles they have written, and then nominates other (usually five) bloggers to do the same.

It is an interesting idea with three obvious intentions: firstly to create awareness of ‘posts gone by’ (old posts which have sunk into the archives); secondly to create a flow of PageRank, or ‘link juice’ between a whole host of different blogs, ultimately pushing everyone up the rankings – in theory; and thirdly to drive more traffic to different sites, by bloggers raising awareness of other blogs that they read or contribute for.

The goal of the challenge is

“To unite bloggers (from all sectors) in a joint endeavor to share lessons learned and create a bank of long but not forgotten blog posts that deserve to see the light of day again.”

I think Technology Bloggers could benefit from such a post, and I would like to dig back into the archives and find my seven articles, so I am going to give it a shot!

The seven categories bloggers are suppose to find an article for are: your most beautiful post; your most popular post; your most controversial post; your most helpful post; a post whose success surprised you; a post you feel didn’t get the attention it deserved; and the post that you are most proud of. I am only going to do this for my posts, so other authors with sufficient posts can do this too 🙂

Okay, here goes…

My most ‘beautiful’ post

A bit of an odd name, but I guess this means a post you feel is brilliantly crafted/well written.

The thing is, if I don’t think an article is brilliant, I won’t post it, therefore I love all my posts almost equally. How can I choose my favourite? I don’t think I can, so I am not going to – no one post stands out for me. Check out all my posts in my writer archive to see which ones I like 🙂

My most popular post

This one was an easy one to pick, I just had to see which posts had been read the most, and which had the most comments.

That post was: Is your computer damaging your eyes? The post has had hundreds of views, 37 comments to date, and users spend on average over four minutes on the page, making it the overall most popular post that I have written.

My most controversial post

I hate to sound like I am chickening out again, but I am really not sure what to pick! I try to make sure that most of my posts stir up a bit of a debate, but again, no one really stands out for me. Do you think I have a most controversial post?

My most helpful post

I like to think that all my posts are helpful, either by updating you on the latest tech news, by reviewing a product, or by telling you how to do something.

The post that should be crowned my most helpful post really depends on who you are. If you are a blog owner who wanted to find out how to claim your blog with Technorati then that article was probably the most useful to you, again, if you were interested in new radiotelescopes, The world’s most powerful radio telescope is now functioning! is probably of more use to you. What do you think my most helpful article is?

The post which I was surprised by its success

There are a few posts which I was surprised with, either because they didn’t really get the response I thought they would, or because I was pleasantly surprised by the response.

I have chosen an article which pleasantly surprised me, as I shouted out to the community, and the community responded! That post was: Why would you turn comments off? you can read the follow up post here: Why you would turn off comments.

The post I feel didn’t get the attention it deserved

At the beginning of last month I posted an article entitled Are you doing your bit for the blog? and I really hoped that it would receive similar community attention to what the ‘Why would you turn comments off?’ article did, but it didn’t, and that somewhat disappointed me 🙁

The post that I am most proud of

Looking through all my old posts, this one jumped out at me straight away, as I remember how stunned and please I was when I wrote it. There was no other post that I could be more proud of (yet) than this one.

What was it? This: Look what WE have achieved! after just two weeks the blog was doing so well, and I was just so pleased and proud of my creation 🙂

My nominations

Okay, time for me to challenge some people to find their seven articles. My nominations are:

Jonny – One of our fantastic authors
James – One of our friends from Windows Talk
Ari – Someone whose blog I have been following for many years now
Chadrack – A good friend of mine in the blogosphere
Lillie – Someone who has provided me with encouragement on many projects
You – If you have a blog, I challenge you too!

If you want to find out more about My 7 Links, click the link and it will take you to what I believe to site of the founder of the challenge.

How does Google make money?

21st January 2012 20 Replies Christopher Roberts

The other day someone asked me how Google makes its money. At the time I called upon the knowledge I had and talked about the ads they have in the search results, the Chromebooks and Android systems they are selling, and Google Apps and Docs.

This week Google announced, it was disappointed with its 27% rise in revenues. Yes you read right, it was disappointed! Profits were up 6.4% and revenues 27%. In the same period, (the last quarter of 2011) Microsoft saw its revenues rise just 5%, and its profits fall by 0.15%!

Here is the interesting (weird) thing, Google’s share value fell 10% after the announcement, whilst Microsoft’s grew by around 2%! How crazy.

Anyway, this got me thinking, what are all the way Google makes money, as that is a lot to get just from the ways I mentioned.

How does Google make money?

The fact is, the majority of Google’s revenues come from the ads it presents to users on search result pages. However in recent years it has started making more and more money in other ways. So what are these other ways Google makes money?

Chromebooks

Introduced mid last year, Chromebooks are laptops powered by Google Chrome OS, where the laptop and the internet are one. There are no programs, desktop or start menu, the who experience runs from the cloud, utilising all Google’s (and other) online applications.

Samsung and Acer are the two firms which currently offer Chrome OS powered laptops, however expansion to more brands in the future is inevitable. Samsung and Acer obviously take their share the sales, as will Amazon and the other places Chromebooks are sold, however the laptops do make money for Google.

Android

I assumed that Google made money from Android, however I was wrong – Google does not make money from its Android mobile operating system. Android is a Google-led open source mobile OS framework, however Google does not profit from it.

YouTube

Since Google bought YouTube in 2006, the site hasn’t been that profitable for it. YouTube is now the site with the third most traffic on the web, meaning that it has huge potential, however until recently, it was only making money from ads.

Before Google AdSense ads used to appear alongside videos, which they still do, however now they also advertise within videos too. Furthermore, YouTube have started offering online movies, which users can pay to watch from the comfort of their own home – or wherever they are.

Google Storage

Many Google services offer online storage, however this is only a finite amount. Should you want to purchase extra storage for Gmail, Google Docs, Picasa or Blogger (photos on blogger, not posts) then you can do so from Google Storage. I doubt this brings in Google a lot of revenue, but nerveless, it makes the internet giant some money.

Google Store

Google have an online store which distribute to may different locations around the world. They sell everything from branded keyrings and juggling balls, to t-shirts and even accessories with past Google Doodles printed on them.

DoubleClick, AdSense and AdWords

The majority of Google’s revenues come from the advertisers who use AdWords and DoubleClick. These ads are then either shown in the search results, or on websites which host AdSense units. Google makes lots of money out of ads. It doesn’t tell AdSense hosts what cut of the advertisers fees they get, but it makes Google a lot of money, so I would guess that they take home more than website owners hosting their ads.

Other Ways Google Makes Money

These are not the only ways Google makes money, other ways include, Google Apps for Business, Google Cloud Connect, Google Docs, Feedburner (through ads), Google Earth Pro, Google Mini (where you effectively buy the Google search engine to use on your own site/intranet), Google Checkout and more.

Hopefully this gives you some insight into just how many ways there are that the search giant that is Google makes money.

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