As the date of the Facebook Initial Public Offering (IPO) creeps closer and closer, interest in the stocks of other social media companies has been growing. This is especially true among social media companies that have recently begun trading their stocks publicly. Social networking companies in the United States, as well as in Latin America and China have seen their stock prices increase significantly thus far in 2012. As social media grows more and more popular, stocks in this industry are receiving a lot of attention.
United States-based social-networking companies LinkedIn and Zynga, as well as Renren and Quepasa, known as the Facebooks of China and Latin America respectively, have experienced great increases in the share prices of their stocks in the first months of 2012. LinkedIn is a website that allows professionals to interact by linking to one another, and Zynga is an online gaming firm. Most investors and financial experts believe the future holds great potential for social media stocks.
Facebook continues to grow globally and now has a global audience of over 836 million. The number of members worldwide continues to climb due to a feature that allows users to translate Facebook into a number of different languages. Besides the United States, India and Indonesia have the largest number of Facebook members-a combined tally of over 88 million. Financial experts and social media marketers alike believe that the IPO will not negatively affect Facebook memberships, and a survey of social media marketers shows that the majority believe the IPO will cause membership to grow in other developed countries and emerging countries.
What affect do you think the Facebook IPO will have on Facebook and on other social media platforms used around the world? Feel free to comment below and stay tuned for more social media news from our blog series this week!