Entrepreneur Daily Dose Blog
What Facebook's IPO Means for VCs and Entrepreneurs
What Facebook's IPO Means for VCs and Entrepreneurs | Blog | Daily Dose | Entrepreneur.com
If you've been greedily scanning the headlines about Facebook's IPO -- wondering whether the social networking giant's move to go public will serve as the spark venture capitalists need to launch a new flurry of funding -- you may be disappointed.
Facebook looks to be grossly overvalued. If the estimates are true and Facebook is worth $75 billion to $100 billion, Mark Zuckerberg's legacy, which reeled in $3.8 billion in 2011, would have a price-to-sales ratio of 19.7. (If you're not a stock trader, the price-to-sales ratio is determined by dividing the total value of a company's shares by its revenues. When this ratio is smaller, it's considered a better investment as the buyer is paying less for each unit of sales.) So in other words, Facebook's shares are 497 percent more expensive than Apple's and 294 percent costlier than Google's.
Make no mistake, the Facebook initial public offering will enrich its backers like the venture capital firms like Digital Sky Technologies and Greylock Partners. But for other VCs and entrepreneurs, the Facebook IPO will only mean something if it unleashes a fever for start-up investing that creates an insatiable appetite for more IPOs. But there are two reasons why a Facebook IPO will not lead to that outcome.
First, unlike Netscape's 1995 IPO, Facebook's technology doesn't look like it'll lead to a fundamental transformation of the way businesses operate. While social media is changing the way people communicate, Netscape's browser helped make the internet easier for consumers and businesses to use. And it led to a flock of new industries -- ranging from website publishers and consultants to makers of web infrastructure and designers.
Though Facebook is showing some of its potential in apps development and search, the social network, as is, hasn't demonstrated a monumental shift. And even if it's made strides in advertising, the company's revenues are a mere 1 percent of estimated 2011 global advertising spending of $506 billion. And at the end of the day, its IPO will not move the corporate advertising needle.
Secondly, Facebook's rumored IPO price sets such a high valuation -- as noted above -- that it will be nearly impossible for the stock to rise consistently above its IPO price after the initial pop.
And while the media likes to parallel the Facebook IPO to that of Google whose share price has risen nicely since its 2004 IPO to $580 from $84, the comparison doesn't work. That 30 percent compound annual growth is good, but Google trades 19 percent below its 2007 peak of $715.
To be fair, there is one reason to think Facebook's stock will climb after it goes public. A quick look at Google's 2004 prospectus reveals that its price-to-earnings estimate was the same as Facebook's.
That's the only glimmer of good news for those hoping Facebook's IPO might breathe new life into the business of VCs and tech entrepreneurs, however. Facebook's inability to noticeably transform the way companies operate their business means that it may very well remain a niche phenomenon in the grander economic scheme.
source-www.entrepreneur.com
Saturday, February 4, 2012
Friday, January 27, 2012
Delhi gets serious about cycling
Delhi gets serious about cycling
Delhi is cycling. And not just locally. They're cycling it up to Chandigarh, Kangra and even Leh-Ladakh. With cycling clubs mushrooming across the city and its suburbs, Delhiites have taken up cycling as more than just a fitness regime. Delhi Cyclist co-founder Gaurav Wadhwa says they cycle during the weekends and “have an ambulance riding in case of emergencies.“ Rohit Manaktala's LBZ group meets every morning and he's happy that young people are taking it up as a mode of transport. All the cycling clubs have Facebook (FB) pages through which they inform the members about upcoming schedules. Pedal Yatri has a sub group called Pedal Light, meant for beginners, and includes 20-30 kms of cycling. “The regular Pedal Yatris cycle 75-100 kms,“ says founder Jasbir Singh. “The competitive cyclists can join Pedal Endurance.
We insist on helmets and having lights on the cycles,“ he says. The Noida Cycling Club, which began with four, now has 202 members. “It's good for people with knee problems,“ says founder Aman Puri.
Gurgaon resident Ashutosh Shukla's Gurgaon Peddlers meets in Sector 57 every morning for a 25-km ride. “I ride with other groups in Delhi too,“ Puri says sharing the route the group will take through a Google map, on their FB page.
MY COMMENTS:-
THE PEOPLE LIVING IN DELHI ARE FACING THE INCREASE IN THE WAIST LINE AT A VERY FAST PACE.NOW IN DELHI,PEOPLE DO NOT LIKE TO WALK,INSTEAD THEY WANT TO SIT,LYDOWN AND TALK.WITH THE DECREASE IN THE PHYSICAL ACTIVITY WE NEED INCREASED PHYSICAL ACTIVITY TO FIGHT THE MENACE OF DISEASES LIKE HIGH BLOOD PRESSURE,DIABETES AND PHYSICAL DISABILITIES ETC.DAILY CYCLING IS A VEY VALUABLE OPTION OPEN TO DELHI POPULATION.THE STADIUMS LYING IDLE AND UNDERUTILIZED CAN BE FRUITFULLY UTILISED BY THE PEOPLE OF DELHI BY CREATING INFRASTRUCTURE FOR CYCLING TRACTS BY THE DELHI GOVT,THE SPORTS AUTHORITY OF INDIA AND THE SPORTS MINISTRY IN DELHI ON THE OUTER PORTIONS OF THE VARIOUS STADIUMS BUILT FOR THE COMMON WEALTH GAMES.PEOPLE CAN BE INVITED TO USE THE CYCLING INFRASTRUCTURE FOR THE BENEFIT OF PEOPLE TO GAIN HEALTH BENEFITS THROUGH THE USE OF CYCLES.THIS SHOULD BE GIVEN A SERIOUS THOUGHT BY THE GOVT OF DELHI AND THE MINISTRY OF SPORTS IN DELHI.
Delhi is cycling. And not just locally. They're cycling it up to Chandigarh, Kangra and even Leh-Ladakh. With cycling clubs mushrooming across the city and its suburbs, Delhiites have taken up cycling as more than just a fitness regime. Delhi Cyclist co-founder Gaurav Wadhwa says they cycle during the weekends and “have an ambulance riding in case of emergencies.“ Rohit Manaktala's LBZ group meets every morning and he's happy that young people are taking it up as a mode of transport. All the cycling clubs have Facebook (FB) pages through which they inform the members about upcoming schedules. Pedal Yatri has a sub group called Pedal Light, meant for beginners, and includes 20-30 kms of cycling. “The regular Pedal Yatris cycle 75-100 kms,“ says founder Jasbir Singh. “The competitive cyclists can join Pedal Endurance.
We insist on helmets and having lights on the cycles,“ he says. The Noida Cycling Club, which began with four, now has 202 members. “It's good for people with knee problems,“ says founder Aman Puri.
Gurgaon resident Ashutosh Shukla's Gurgaon Peddlers meets in Sector 57 every morning for a 25-km ride. “I ride with other groups in Delhi too,“ Puri says sharing the route the group will take through a Google map, on their FB page.
MY COMMENTS:-
THE PEOPLE LIVING IN DELHI ARE FACING THE INCREASE IN THE WAIST LINE AT A VERY FAST PACE.NOW IN DELHI,PEOPLE DO NOT LIKE TO WALK,INSTEAD THEY WANT TO SIT,LYDOWN AND TALK.WITH THE DECREASE IN THE PHYSICAL ACTIVITY WE NEED INCREASED PHYSICAL ACTIVITY TO FIGHT THE MENACE OF DISEASES LIKE HIGH BLOOD PRESSURE,DIABETES AND PHYSICAL DISABILITIES ETC.DAILY CYCLING IS A VEY VALUABLE OPTION OPEN TO DELHI POPULATION.THE STADIUMS LYING IDLE AND UNDERUTILIZED CAN BE FRUITFULLY UTILISED BY THE PEOPLE OF DELHI BY CREATING INFRASTRUCTURE FOR CYCLING TRACTS BY THE DELHI GOVT,THE SPORTS AUTHORITY OF INDIA AND THE SPORTS MINISTRY IN DELHI ON THE OUTER PORTIONS OF THE VARIOUS STADIUMS BUILT FOR THE COMMON WEALTH GAMES.PEOPLE CAN BE INVITED TO USE THE CYCLING INFRASTRUCTURE FOR THE BENEFIT OF PEOPLE TO GAIN HEALTH BENEFITS THROUGH THE USE OF CYCLES.THIS SHOULD BE GIVEN A SERIOUS THOUGHT BY THE GOVT OF DELHI AND THE MINISTRY OF SPORTS IN DELHI.
Connectivity the missing link
Connectivity the missing link
SATELLITE TOWNS Absence of a robust intra and inter-city transport system has failed to integrate the National Capital Region
Thirty-three-year-old financial consultant Ritu Singhal spends R700 on private taxis to commute between her Bhikaji Cama Place office in south Delhi and her Noida Sector 31 residence every day.
“I have spent three years in London and always travelled by the London Tube. If there were a direct Metro connectivity to south Delhi, I would have loved to travel by it. The buses are neither safe nor reliable,“ Singhal said.
Singhal shares the sentiments of thousands who travel between Delhi and the NCR towns of Gurgaon, Noida, Faridabad and Ghaziabad every day.
The movement of people between NCR towns has increased manifold in the past few years. In the absence of affordable housing, a large number of people who work in Delhi have also shifted there. Multi-national companies too have offices in Gurgaon and Noida.
But though the NCR is fast integrating in terms of movement of people and a common work culture, the absence of an robust transport system has come as a spoilsport.
The Delhi Metro has remarkably help to fill this gap, but the facility is available only to a section of the NCR residents. Reason: A poor intra-city transport system and the absence of a feeder service to Metro stations.
The statistics speak for themselves.
Of the 190km of Metro network, only 17km run into the three NCR towns of Gurgaon, Noida and Ghaziabad. But the combined Metro ridership of the three towns is about 1.8 lakh, 9% of the 20 lakh average daily Metro ridership.
While Delhi Metro plans to extend the Metro network in phase 3 and phase 4, experts feel the need for a holistic approach to boost the inter-city transport system. “The NCR Planning Board has come up with a detailed orbital rapid rail system. It will discourage a lot of unwanted vehicular traffic that come to Delhi every day. Dedicated bus corridors connecting Delhi with neighbouring cities are also being planned,“ transport expert PK Sarkar said.
While several private initiatives are being taken in Gurgaon to improve inter-city and intra-city transport, experts also believe the free movement of taxis and autorickshaws between cities will help solve various problems.
COMMENTS:-
THE DWARKA SUBCITY WHICH LACKS DIRECT SHORTEST ROUTE LINKS TO CENTRAL SECTT.AND NEHRU PLACE SHOULD BE PROVIDED WITH MONO RAIL LINKS AND ALSO METRO RAIL LINKS SO THAT PASSENGERS ARE NOT FORCED TRAVEL EXTRA DISTANCES TO REACH CENTRAL AND SOUTH DELHI BY METRO RAIL TRANSPORT FACILITY IN DELHI
SATELLITE TOWNS Absence of a robust intra and inter-city transport system has failed to integrate the National Capital Region
Thirty-three-year-old financial consultant Ritu Singhal spends R700 on private taxis to commute between her Bhikaji Cama Place office in south Delhi and her Noida Sector 31 residence every day.
“I have spent three years in London and always travelled by the London Tube. If there were a direct Metro connectivity to south Delhi, I would have loved to travel by it. The buses are neither safe nor reliable,“ Singhal said.
Singhal shares the sentiments of thousands who travel between Delhi and the NCR towns of Gurgaon, Noida, Faridabad and Ghaziabad every day.
The movement of people between NCR towns has increased manifold in the past few years. In the absence of affordable housing, a large number of people who work in Delhi have also shifted there. Multi-national companies too have offices in Gurgaon and Noida.
But though the NCR is fast integrating in terms of movement of people and a common work culture, the absence of an robust transport system has come as a spoilsport.
The Delhi Metro has remarkably help to fill this gap, but the facility is available only to a section of the NCR residents. Reason: A poor intra-city transport system and the absence of a feeder service to Metro stations.
The statistics speak for themselves.
Of the 190km of Metro network, only 17km run into the three NCR towns of Gurgaon, Noida and Ghaziabad. But the combined Metro ridership of the three towns is about 1.8 lakh, 9% of the 20 lakh average daily Metro ridership.
While Delhi Metro plans to extend the Metro network in phase 3 and phase 4, experts feel the need for a holistic approach to boost the inter-city transport system. “The NCR Planning Board has come up with a detailed orbital rapid rail system. It will discourage a lot of unwanted vehicular traffic that come to Delhi every day. Dedicated bus corridors connecting Delhi with neighbouring cities are also being planned,“ transport expert PK Sarkar said.
While several private initiatives are being taken in Gurgaon to improve inter-city and intra-city transport, experts also believe the free movement of taxis and autorickshaws between cities will help solve various problems.
COMMENTS:-
THE DWARKA SUBCITY WHICH LACKS DIRECT SHORTEST ROUTE LINKS TO CENTRAL SECTT.AND NEHRU PLACE SHOULD BE PROVIDED WITH MONO RAIL LINKS AND ALSO METRO RAIL LINKS SO THAT PASSENGERS ARE NOT FORCED TRAVEL EXTRA DISTANCES TO REACH CENTRAL AND SOUTH DELHI BY METRO RAIL TRANSPORT FACILITY IN DELHI
`Sack Dhoni, Laxman, Dravid'
`Sack Dhoni, Laxman, Dravid'
HUMILIATION REVISITED India are on the verge of losing their 8th successive away Test match. Here's why a team that was ranked No. 1 eight months ago has fallen so badly Shame, shame These comparisons will tell you why India have been completely outplayed in the last 8 overseas Tests versus England & Australia.
MY COMMENTS:-
THE INDIAN TEAM COMPRISING OF OLDER PLAYERS HAS OUTLIVED ITS UTILITY.AS THE GAME HAS BEEN BECOMING VERY COMPETITIVE IN THE INTERNATIONAL GAMING FORMATS,THE INDIAN TEAM MEMBERS WHO ARE OLD ARE BEING STALE IN THEIR PERFORMANCES.IT IS TIME TO RETIRE THESE OLDER CRICKETERS AND REPLACE THEM WITH NEW YOUNG CRICKETERS WHO HAVE ALSO PLAYED DOMESTIC GAMES AND PERFORMED WELL.THIS SHOULD BE AN ONGOING PROCESS.
HUMILIATION REVISITED India are on the verge of losing their 8th successive away Test match. Here's why a team that was ranked No. 1 eight months ago has fallen so badly Shame, shame These comparisons will tell you why India have been completely outplayed in the last 8 overseas Tests versus England & Australia.
MY COMMENTS:-
THE INDIAN TEAM COMPRISING OF OLDER PLAYERS HAS OUTLIVED ITS UTILITY.AS THE GAME HAS BEEN BECOMING VERY COMPETITIVE IN THE INTERNATIONAL GAMING FORMATS,THE INDIAN TEAM MEMBERS WHO ARE OLD ARE BEING STALE IN THEIR PERFORMANCES.IT IS TIME TO RETIRE THESE OLDER CRICKETERS AND REPLACE THEM WITH NEW YOUNG CRICKETERS WHO HAVE ALSO PLAYED DOMESTIC GAMES AND PERFORMED WELL.THIS SHOULD BE AN ONGOING PROCESS.
Sunday, December 25, 2011
Walk of Life...: Anti Reservation Blog
Walk of Life...: Anti Reservation Blog
MY COMMENTS:-
THE CENTRAL GOVERNMENT SHOULD ALSO COME FORWARD TO HELP THE GENERAL CATEGORY PEOPLE.THEY ALSO NEED THE HELP OF THE CENTRAL GOVERNMENT TO HAVE A GOOD LIFE IN INDIA.
MY COMMENTS:-
THE CENTRAL GOVERNMENT SHOULD ALSO COME FORWARD TO HELP THE GENERAL CATEGORY PEOPLE.THEY ALSO NEED THE HELP OF THE CENTRAL GOVERNMENT TO HAVE A GOOD LIFE IN INDIA.
Anti Reservation Note
Anti Reservation Note
India is a biggest democratic country in world which claims secular character. Just definition doesn’t prove “by the people, of the people, for the people”. “All religions and casts have equal opportunities” “no discrimination on name of sex”.
Does it really prevail in great democratic & secular country “India”?
Reservation for ST, SC, OBC, etc…i.e. Anti secular
Reservation for Women i.e. Sex discrimination
Reservation i.e. Anti democracy
IS there any solution?
Yes, that’s all politics is all about – to bring solutions? “Seat is reserved ask wife or daughter to contest” “or ask driver or servant to contest”- you will win but we will take care of our nation.
WRITTEN BY_virendrasinghchundawat
MY COMMENTS:-
WHAT ACTION THE CENTRAL AND THE STATE GOVERNMENTS ARE TAKING TO HELP THE PEOPLE OF GENERAL CATEGORY,WHO ARE NOT BEING GIVEN ANY BENEFITS OF RESERVATION.EVEN POOR PEOPLE IN THE GENERAL CATEGORY ARE BEING IGNORED AND DISCRIMINATED BY THE CENTRAL GOVERNMENT AND ARE BEING PUSHED TO THE BRINK OF BANKRUPTCY IN EDUCATION AND EMPLOYMENT OPPORTUNITIES.THEIR FAMILY STATUS IS BECOMING VERY POOR.
India is a biggest democratic country in world which claims secular character. Just definition doesn’t prove “by the people, of the people, for the people”. “All religions and casts have equal opportunities” “no discrimination on name of sex”.
Does it really prevail in great democratic & secular country “India”?
Reservation for ST, SC, OBC, etc…i.e. Anti secular
Reservation for Women i.e. Sex discrimination
Reservation i.e. Anti democracy
IS there any solution?
Yes, that’s all politics is all about – to bring solutions? “Seat is reserved ask wife or daughter to contest” “or ask driver or servant to contest”- you will win but we will take care of our nation.
WRITTEN BY_virendrasinghchundawat
MY COMMENTS:-
WHAT ACTION THE CENTRAL AND THE STATE GOVERNMENTS ARE TAKING TO HELP THE PEOPLE OF GENERAL CATEGORY,WHO ARE NOT BEING GIVEN ANY BENEFITS OF RESERVATION.EVEN POOR PEOPLE IN THE GENERAL CATEGORY ARE BEING IGNORED AND DISCRIMINATED BY THE CENTRAL GOVERNMENT AND ARE BEING PUSHED TO THE BRINK OF BANKRUPTCY IN EDUCATION AND EMPLOYMENT OPPORTUNITIES.THEIR FAMILY STATUS IS BECOMING VERY POOR.
Saturday, December 24, 2011
Team Anna ups ante on the issue of bringing CBI under lokpal - Hindustan Times
Team Anna ups ante on the issue of bringing CBI under lokpal - Hindustan Times
MY COMMENTS:-
THE CENTRAL GOVERNMENT SHOULD TAKE THE DEMAND OF ANNA HAZARE SERIOUSLY.THE CBI SHOULD BE GIVEN A VERY IMPORTANT TASK OF INVESTIGATION UNDER THE LOK PAL ORGANISATION AGAINST THE CORRUPT PEOPLE IN POLITICS.WE WANT CLEAN PEOPLE IN THE GOVT AND PUBLIC LIFE.
MY COMMENTS:-
THE CENTRAL GOVERNMENT SHOULD TAKE THE DEMAND OF ANNA HAZARE SERIOUSLY.THE CBI SHOULD BE GIVEN A VERY IMPORTANT TASK OF INVESTIGATION UNDER THE LOK PAL ORGANISATION AGAINST THE CORRUPT PEOPLE IN POLITICS.WE WANT CLEAN PEOPLE IN THE GOVT AND PUBLIC LIFE.
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