While the CEO of Facebook Inc. Mark Zuckerberg has been proclaiming his company mobile first, the company has recorded a closing price yesterday that was unheard of since May 18, 2012. It was in New York that the Facebook Inc. rose 1.5 per cent IPO, resulting up to 38.05 USD.
This has been a milestone closing IPO that marks Zuckerberg’s recovery from the worst IPOs recorded in the last decade, especially propelled by the mobile ad business. In fact, it has been this mobile ad business that promises to push up its sales to more than 16 billion USD by the year 2017.
Given the speed of its victory over advertisers and shareholders, Facebook Inc. is all set to match up paces with Google Inc. and emerge as its competitor. In fact, it had been quite an appreciation to the latter company when Youssef Squali, a Cantor Fitzgerald analyst publicly agreed that it had proven to be deserving of a 100 billion USD valuation.
This massive boost of shares naturally also has positive and gainful effects on the personal wealth of the young CEO of Facebook Inc. as well. Astonishingly, Zuckerberg, 29, has already managed to rank above the Microsoft Corp. CEO Steve Ballmer as well as the Dell Inc. founder Michael Dell in the Bloomberg Billionaires Index, with a net worth of 18.6 billion USD.
In September 2012, when the stocks of the company took a steep downward plunge, Zuckerberg strategized new techniques resurrect it. The following ten months saw an increase of ads tailored for the smaller screens as well as the bigger screens which successfully lured the right people – advertisers and investors.
In spite of all efforts, however, Facebook continues to face stiff competition from other social networking sites such as Twitter. Nevertheless, commendable is the fact that Zuckerberg, not only able to manoeuvre outright U-turns but also take criticism and change the tactics as and when needed, has saved the company in times unthinkable.