Yesterday I wrote about how 80% of the customers one firm had paid (on a per click model) Facebook to send over were in fact bots (computer programmes). While there is sod all chance of most of Facebook’s customers (students, teenagers and piss poor Indians) buying anything online, there is zero chance of a bot buying. One thinks that advertisers will be thinking twice about using the services of Mark Zuckerburg’s great enterprise.
But it gets better. The company now admits that 1 on 10 of its accounts are in fact fake. That is to say duplicates ( where someone is so moronic that they need to “friend” themselves as they cannot find enough other morons online to be friends with?), not real (pets, etc) or spammers. You cannot now make any sensible earnings forecasts, the valuation is still crazy and insiders are about to start dumping hundreds of millions of shares onto a market where only the certifiable will buy. IPO $38. Price now $21. Target by Christmas (probably a lot sooner sub $10). As a non shareholder this is getting quite entertaining.
As one correspondent puts it:
“I’m loving this as my colleague took his first foray into investing on the IPO, buying a massive 3 shares. The only thing more amusing would be if he returned home to find Zuckerberg in bed with his wife.”
Why not? Zuckerburg has already screwed the investors, why not screw their wives as well?
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