Since it’s Friday, and there is a Facebook IPO scheduled to go off today, I feel obliged to write the standard “Why I hate the latest IPO” column.
Don’t get me wrong.
I think IPOs are great.
They are great job creators, first of all. Lots of the money raised by IPOs goes into hiring lots more people.
And an IPO’s liquidity event- where early stage investors get to cash in on the open market- is the reason why those investors took the risk in the first place. One of the major benefits of having stock markets like the New York Stock Exchange and the NASDAQ is to give early-stage investors a way to cash out of their investment eventually.
And the money raised by the IPO generally goes to business expansion, which means more jobs, more revenue, more profits and higher value.
That’s makes the Facebook IPO not just a social media event, but a socially responsible event.
But I still hate the Facebook IPO.
I work in digital media. I believe in digital media. “Dotcom bubble” aren’t dirty words for me.
An industry was created in that bubble; an industry that has revolutionized society and will continue to revolutionize society as much as the industrial revolution did.
I’m sorry that too many people misunderstood that just applying the appellation .com to, say, a commonplace item, like dog food- and ending up with a business named dogfood.com- wasn’t revolutionary, but rather a satire on what is wrong with bringing small, commonplace minds to big concepts like .com. But that’s just the small change of revolution.
And Facebook isn’t a dogfood.com business. It really is revolutionary.
But I still I hate the Facebook IPO?
I really, really do.
That doesn’t mean I’m a Facebook hater.
In fact, I love Facebook.
I would go so far as to say that Facebook made the Tea Party possible.