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!

Usability diva, Kim Krause Berg, 









