When Apple or Google release an earnings report, Wall Street holds their breath in anxious anticipation. When Google or Apple announces a new product, Silicon Valley anxiously awaits the product of the future. Rarely though does an event bring both Silicon Valley and Wall Street to an absolute stand still. Rarely do both fixate on an event with awe and wonderment, trying to predict what it will mean for the future.
Arguably the last time such an event occurred was on August 19, 2004 when Google had their IPO. This week will be an event of even larger implications. Facebook, the corporation that currently houses the website with the most traffic in the world (surpassing Google in 2011) and that has changed not only the face of the internet but the face of the world. A site that has been attributed with at least partial credit for helping to ignite and spread the “Arab Spring” movement is filing for their IPO this week.
Facebook, Inc. the company run by the enigmatic 27-year old billionaire Mark Zuckerberg will be reportedly filing for an IPO this week. According to Bloomberg, “The company is discussing a valuation of $75 billion to $100 billion, said two people, who asked not to be identified because the plans haven’t been made public. Timing for the filing is still being discussed and may change, they said.”
The Wall Street Journal, who was the first to break the story on the possible IPO also reports that, “Facebook is close to hiring Morgan Stanley to handle the deal, and Goldman Sachs Group Inc. (GS) will probably play a “major role” in the IPO…”
Facebook, like it or not, has changed the face of technology. It has changed the way we interact with each other and after an event like the Arab Spring; it has certainly helped influence the world and has ultimately changed it. An IPO will give Facebook the financial ability to grow even larger than its current gargantuan form and influence the world and our society to an even greater extent. But, it will also give the world new insight into the finances and practices of a corporation whose inner-workings has remained largely a mystery.
What will be the impact of the Facebook IPO in Silicon Valley, on Wall Street, in the United States, and across the world? How will Facebook use their growing finances and influence across the world. How will our world ultimately change with a newly-invigorated Facebook?