Hate To Be Rude, But Facebook Is Not The Next Google. It's Not Even Close

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		Tech Entertainment Wall Street Markets Strategy Sports Lifestyle Politics Europe Video Latest Tuesday, January 31, 2012 Hate To Be Rude, But Facebook Is Not The Next Google. It's Not Even Close Information about Facebook's 2011 revenues and operating profits leaked last week, just ahead of this week's expected IPO filing. If CNBC's reporting is accurate, the numbers are disappointing for a company that's supposed to be valued at $75 billion to $100 billion when its shares start trading. Revenues came in at $3.8 billion, less than an expected $4+ billion. Operating profits were $1.5 billion, less than an expected $2 billion. Facebook's results look particularly disappointing in comparison to Google's first seven years of business. We've drawn out that comparison above.  The comparison is actually worse than it looks. Remember, Google was born at time when Internet usage, and online ad spending, wasn't even half of what it is today.  The fact is, Facebook is a huge consumer hit – 850 million people us the site each month – but it's ad products are not, really.  Google's ad products are business magic. Consumers see ads for products that they literally want to see.  So far, Facebook hasn't found that kind of magic. Investors looking at Facebook's S1 filing this week will have to wonder if it ever will.   Read » Also On SAI Today: The Secret To Reddit's Astounding Success The New Head Of Apple Stores Managed THESE Ugly Electronics Shops? EXCLUSIVE: The IM Conversation In Which 19-Year-Old Zuckerberg Decided To Build Facebook, This Year's $100 Billion IPO Sheryl Sandberg Just Bought A House Right Next To Facebook Advertisement CHART OF THE DAY: Redbox, Not Netflix, Is The Nation's Largest DVD-Renter CHART OF THE DAY: The Kindle Fire Is The Most Important Android Tablet For App Makers CHART OF THE DAY: Why Apple Is Suddenly Beating Android In Market Share Share this: Facebook Twitter Digg Reddit StumbleUpon LinkedIn The email address for your subscription is: ipat39@gmail.com Change Your Email Address | Unsubscribe | Subscribe | Subscribe to the SAI RSS Feed Business Insider. 257 Park Avenue South, New York, NY 10010 Terms of Service | Privacy Policy

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