Can IPO of Japan’s Mixi Help Value MySpace and Facebook?

Forrester analyst Charlene Li has an overview of the recent successful IPO of Japan’s largest social networking site, Mixi.

She crunches some numbers and tries to apply Mixi’s valuation formula to giants MySpace and Facebook.

A rough back-of-the-envelope would value MySpace’s 100 million users at US$1.86 billion and Facebook’s 7.5 million users would be worth $139.5 million. Granted, the I’m not taking into account the multiplicative network value of additional members, so this is likely undervaluing the value of MySpace’s and Facebook’s audiences.

$140 million valuation for Facebook? Someone should have given them that figure, before they turned down the rumored $1.4 billion buyout offer from Yahoo!

  • http://www.junktube.com TekMann

    I think this new start-up will have some success with the political connections its owner has and their partners. Just having fun, yet they intend to play it slow and smart. Everyone is verified, not teenie’s with cams posting young girls with bra’s and guys commenting on them. All professional and the way it ought to be. I have a new account and its pre-launch and they are taking ideas and doing well with them. Buy and Sell, anyone and everyone. Don’t underestimate this guy, he’s real good, really good because he’s also a Cyber Crimes Investigator and Commander of the Unit.