PLM / ERP
Facebook chips or Facebook slips?
posted on May 23, 2012 |
| 2569 views
After chuckling over the pre-IPO rumour that
Facebook was developing its own integrated circuit design
, I just can't help talking about the Facebook IPO stumble. Even at today's close of $31.00, the company's market valuation puts it a long way off from not actually being able to fund IC development. But how long would Facebook stock have to tumble before the cheques could no longer be written?
At this level, putting numbers to the calculation might be patently artificial, but let's proceed anyway. The
NY Times once speculated
Apple's chip design costs were $1B, but let's go with the even less specific several hundred million. As it stands, Facebook is still "worth" $66B. As far as market cap goes, it still would have to fall a healthy factor of 10 or more. As one of my favourite university professors often said, "What's an order of magnitude between friends?"
I don't think there are too many market analysts predicting a fall below $10 per share. If it does, though, that order of magnitude is going to lose Mark Zuckerberg a lot of friends.
Recommended For You
Hidden Solar Panels Add Colors to Building Integrated Photovoltaics
Beyond the Apple Watch: How Quantum Sensors will Change the World
Energy Harvesting Insulin Injector Talks to Smartphone App
PowerCube to Provide Storage for 9 Megawatt Solar Farm
comments powered by Disqus.
You must be in Edit Mode to enter content, and then you can use the Module Action Menu or Module Action Buttons to manage content
Sensing and Ranging using LED Technology
How to Choose the Right Visualization Techniques for Your Measurement System
How to Choose the Right Reporting Tools for Your Instrument Control System
Designing a Portable Multi-Channel DAQ for Non-Destructive Testing
Honda, Toyota Launch Production Fuel-Cell Cars
Space 3D Printer Is Installed
New VR Training Gives Soldiers the Ability to Train Anywhere, Anytime
A New Supercomputer on the Rise?
Engineers May Have Struck it Rich! Fools Gold May Be a Solar Material
Visualizing a Day in UK Air Travel
ENGINEERING.com brings the most influential voices in engineering to a worldwide audience of engineers. Our stories are informative, inspiring and entertaining.
Games and Puzzles
Masters of Engineering Management
Copyright © 2014 ENGINEERING.com, Inc.
All rights reserved. Registration on or use of this site constitutes acceptance of our
Advertise With Us
Digital Marketing Blog