Face Book Group 8

8/6/2019 Face Book Group 8

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Group 8

Sharad Baggonkar Roll no. 41

Rupa Khedkar Roll no. 37Nilesh Sawant Roll no. 27Subrata Mondal Roll no. 44

Pramod Kumthekar Roll no. 33Shahjahan Shaikh Roll no. 39



Connecting to the Virtual world



Birth of the Internet

�

�Sept. 1969 UCLA scientists connected two computers and made talk to each other

�

Was used a tool by Department of Defense to share f i

les, data, researchi

nformati

on

�Over time, the connections grew.

� Army bases, universities, and science centres were connected creating an ever-

expanding web of computers.

�Internet slowly became a Phenomenon and grew into a reality.



Whats the Power of the Internet?

Today, it touches the lives of over 2

billion and more.

�

People sleep, eat, drink theInternet.

� An integral part of our lives

� Life is unimaginable without it



Why is the Internet important?

� A database of Information

� A platform to gather knowledge.� A medium to get to know more.

� A medium to connect with the world.

� A medium to share.



The Internet effect

� Its shrunk our world to our computer screen.

� Everything is available at the click of a button.

� Physical boundaries & Distances do not matter anymore.

� It gives you a sense of Freedom

� A medium through which you can live a virtual life.



Internets become a Business

Success & Failures



The Growth

� Connectivity & users growing at a faster rate.

� Human beings are curious by nature.

�

They are driven by the need to talk, express, know andshare.

� Emails, Chats, Webcam, Pictures, videos are shared.

� Without any physical boundaries, the Internet is the

perfect platform.



Social Networking

� Rise of Social Networking sites

� Its about sharing, networking, keeping in touch.



Non of them have been as Effective as:

Unimaginable Popularity and Reach



Popularity of Facebook

2006 2007 2008 2009 2010

7

50

110

150

500

Users in Millions



Its not a RAGE. Pure Addiction

Noopur Raval, 20, Student JNU Delhi says

To me, Facebook is as good and as natural - as breathing

Srikant Sharma, 23, Student JNU Delhi says

I take Facebook seriously. I dont go there to chill out



The FACE of FACEBOOK

MARK ZUKERBERG

� Co-Founder & CEO.� 26 years

� One of the youngest Billionaire

� A genius computer programmer



About Mark.

� Only son, three sisters.

� Came from an extremely supportive family

� No problem of Self Conf idence.

� A computer geek, talks non stop, a guy who doesn'tcare.

� Early on, created music website Synpase.

� He fended off offers from Microsoft and others

interested in buying it for over 1 million.



The Facebook Story

� Year 2002, enters Harvard College

� Gets dumped by his girlfriend.

� Creates www.facemash.com and hacks the Harvard

database� The blogging site to rate women at Harvard on hotness.

� hot or not?

� 20,000 hits in a single night, crashes the server.

� Gets into trouble with authorities, but gets let off.

� Facemash becomes an instant rage.



Marks Harvard Colleagues

Tyler Winklevoss

Cameron Winklevoss

Divya Narendra

� Gets noticed by senior Harvard batch mates

� They are working an idea called HarvardConnection.com

� Its being designed as networking site to keep all Harvardites in

touch

�Mark gets hired to write codes and programme the site



� Mark begins work on the site.

� Later, starts making himself unavailable for any meetings.

� All through, he gives the impression that he is working on

the Harvard Connection.

� He is quietly working on a competing product. His own

networking site.

� The basic idea was similar to Harvard Connection

� Its a site to connect all Harvard students.



� thefacebook gets launched in March 2004.

� Its an instant hit. Becomes immensely popular and thereinbegins the story.

� The Winkelvoss brothers felt cheated and sue Mark for

stealing their idea.

� The magic spreads to other universities like Boston, New York

University, IVY league schools.

�Over a period of time, THE got dropped from thefacebook

and got opened up to general public.

� Sept 2006, it opens for everyone in the age group 13 onwards.



What is Facebook?

� A social networking site with a difference

� Its popularity and its connect is unimaginable

�

550 million users and still counting.� Estimated to cross 1billion in 2011.

� Can easily be regarded as 3rd most populous country in the

world, right behind China and India.



Whats so special about it?

� Its so popular that everyone wants to have a pie. Users, Equity

Investors etc.

� It thrives on the fact that people are social animals.

� They are keen to get info. about the other person.

� Share and connect with friends, colleagues, long lost friendsetc.

� People like to talk about themselves, especially when they think

they have an audience.



Unique features

� Create a prof ile.

� All the relevant data about you as a person, like your

preferences, choices, education etc.

� Status updates, News Feed. You can tell everyone what you

are feeling.

� It allows you to upload photos, videos.

� Tag your friends on the uploaded pics.

� Chat, go to your friends walls and see what they are doing.



How is Facebook Different?

� Facebook has applications, orkut doesn't.

Orkut allows you to see who has been viewing your prof ile,

Facebook doesn't.

Poke is an attractive feature that enables people to have fun by

poking each other.

� wall that enables people to post their messages to the owner

of the wall and then carry on with the conversation



How is Facebook Different?

� Unlike Friendster and MySpace, Facebook has a "Marketplace"

function, which allows its users to showcase the items they

want to sell.

� Groups for planning meet up & events.

�Simple and professional user interface.

�Own photo upload tool to make things easy and fast.

�Explanation for being added as a friend.



Financials

History of Fundings

June 2004: $0.5 Million from Peter Thiel(Co-Founder of

Paypal)

May 2005: $13 million from Accel Partners

April 2005: $27.5 million from Greylock

Partners, Meritech Capital Partners,Accel Partners

2006 : Microsoft invested $ 240 million

2011 : Goldman Sachs invests $450 Million and hasplans to invest $1.5 Billion



Business Model

Facebook used Network Effects Business ModelSelection of Customers

Facebook was developed specif ically for college and

university communites.

Differentiated Product offeringMajor features include: prof ile, friends, groups, messages,

wall, and photo Tagging.

Acquire customersMore than 500 million active users

Distribution strategyDistribution strategy is through the internet

Promotion strategyMostly by word of mouth.

Publicity in the media has also helped the companys

promotion



Business Model

No charge for membership

Facebook sell online advertising on their site

Huge amounts of data from members

can be utilised for targeted advertising and

marketing

Other ways to make money:

Facebooks Marketplace: members can

buy/sell products, f ind jobs and etc.

September 2009, Facebook started making

money



Revenue Model

Monetization of Facebook

Online Advertisement

Self-Serve Facebook Advertising.

Engagement Advertisement.

Microsoft Banner Advertising

Agreement & Search.

Sponsored Groups

Text Announcements



Revenue Model

�Virtual Goods And The

Gift Shop

an average cost of

$1 per

gift, generating

upwards of $100

million

�Facebook Credits.�Facebook Applications



Key Financials

Revenue Growth 100% Y-O-YYear 2008 estimated revenue was $350 millionYear 2009 estimated revenue was $600 million

Year 2010 estimated revenue was $1.2 BillionProf it

Facebook has doubled its prof it every year since 2009

ValuationFacebook turned down a $1 billion purchase offerfromYahoo! In 2006.Goldman has recently valued Facebook at $50 billion.



Challenges

Privacy Challenges

The danger of Facebook identity theftHacking & Phishing

Account Management

Data Growth

Capacity Planning



Criticism

� Inability to voluntarily terminate accounts

� Downtime and outages

� Upgrades

� Lack of Customer Support

� Religious Discrimination

� Censorship Banned in Country like

China,Iran,Syria & Vietnam� Student-related issues



Facebooks Achievements

�Facebook is nothing but a habit.

� Its redef ined the way people speak, share & connect.

� Its changed peoples liveseg people have found eachother after years

� Its being used as an effective tool to spread awareness,

build campaigns.� Every new campaign that gets launched now has a

facebook page too.



The future of Facebook

� Make everything Social.� From web to TV to restaurants, combine technology with

preferences to let people know.

� Not going to be only Social Networking an entire online

experience.� Will become the Defacto identity platform on the net.

� Ensure easy accessibility on platforms like mobiles, ipads.



The Internet

� The VIRTUAL world, is slowly replacing the real world.

� Its the only world where you have complete control over it.

� Having control, makes you feel free.

�As internet usage grows, so will our ways to communicate.Live streaming, photos etc.

� With faster processors, the speed at which we upload/

download data will be faster.



Summation

The Future is brightThe Future is FACEBOOK



Thank You

Face Book Group 8

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