Facebook flies to Dubai for cash
By Matthew Sparkes
Posted on 3 Nov 2008 at 10:33
Facebook is reportedly looking to Dubai for further investment as the company struggles to weather the gloomy economy.
The company's chief financial officer, Gideon Yu, has flown to Dubai to search for a foreign cash injection according to TechCrunch, which claims the company is losing money despite robust revenue figures.
The site is certainly seeing healthy traffic, with over 160 million unique page views and more than 60 billion hits per month. For a website funded partially by advertising revenue, these are promising figures, although TechCrunch suggests that it costs around $200 million "just to keep the lights on".
Despite rumours, the company denies that it's in any financial trouble. "Facebook is well positioned, both financially and within the market, and any thoughtful attempt to model our business should reflect that," says a statement released to VentureBeat.
Facebook has raised capital in the past by selling shares, including a 1.6% stake to Microsoft. The company paid $240 million for the tiny sliver of the social networking site, giving a total valuation of some $5 billion.
However, court documents later emerged that showed Facebook believed its true value to be a slightly more modest $3.75 billion.
From around the web
advertisement
- Laptop bag reviews: nine tested
- Sony VAIO T Series Ultrabook review: first look
- Revealed: the military standards and robots HP uses to test its laptops
- Windows 8: multi-monitors and double standards?
- Why is TalkTalk's year-old porn filter suddenly big news?
- Why are laptop screens so far behind mobiles?
- HP EliteBook Folio review: first look
- The shoebox-sized all-in-one printer
- Forget the Ultrabook: here comes the HP Sleekbook
- HP Spectre XT review: first look
- Why you have to be left in the dark on OS patches
- Is Microsoft mismanaging Windows on ARM?
- Dealing with spam surrogates
- Why 3G broadband can be better and cheaper than ADSL
- Is Twitter bad for business?
- Publishing your email address isn't a security disaster
- Why you'll need a fax machine to develop iOS apps
- Learning to adapt to the mobile web
- Why you shouldn't use WPS on your Wi-Fi network
- Disabled users suffer when software breaks the rules
advertisement
