Quote:
Originally Posted by DVTimes
staff will be expensive.
then expipment (servers and so on).
i just find it odd why they need to raise money if they are making billions?
the point of raising money is to invest and build up the business more. but if your making billions, why raise billions? thats the bity that i find rather odd.
if they were making a few million then i could understand. you raise billions and develop thingsa much more.
but if your making billions why the need to raise more?
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They are going public for three reasons. You'd know these reasons if you'd stop asking dumb questions on a message board and actually did your research. Zuck would prefer to remain private but there comes a time when it doesn't make sense anymore:
1) raise cash
2) reward employees that have stock options. They'll go to places like google if you give them options they can never exercise. A lot of long term FB are frustrated with not being millionaires despite being there for years when they would have already been worth millions at a similar startup. And yes, many key employees continue to work when they become worth millions.
3) shareholder reporting requirements. They're already at or about to hit 500 shareholders. They will have to start filing public reports anyway. Why go through hassle with no clear upside?
And yes, YouTube makes money for Google. Again, research gives you the answers you seek. Paul Markham gives you whatever he is thinking, which changes from post to post and year to year.