Earlier today Inside Facebook posted a very interesting interview with Facebook founder/CEO Mark Zuckerberg. The conversation touched on a range of topics including the proliferation of social gaming, the argument for instituting Facebook Credits across all games, and why Zuckerberg is no longer afraid of Twitter. It also shed some light on Facebook’s revenue numbers: Zuckerberg said that estimates that Facebook would make between $1 and $1.1 billion this year “are not so far off in either direction that it’s causing us any pain…”
So what did he mean by that? Zuckerberg says that revenue estimates last year were lowballing Facebook’s revenue stats to the point that it was hurting the company. Now that’s changed, at least to the point that Facebook isn’t seeing any adverse effects from analyst guesses. Still, it sounds like those figures might still be a little low — Zuckerberg says that “in general, I think people underestimate the value of the whole thing” (though he may be referring to the overall value of Facebook in the long run as opposed to this year’s revenue numbers). Also note that he says that if the estimates were too high, Facebook would correct them to ensure that people didn’t have overoptimistic expectations.
From the interview:
The reason we corrected it last year is because it was hurting us. People thought it was too low. Now what I would say is that the estimates are not so far off in either direction that it’s causing us any pain, so we feel no need to correct it. Also, if it was too high, we would want to correct it too, because we don’t want expectations to be too high and we don’t want people to be disappointed if they joined. I think people are getting a better feel for it, but in general I think people underestimate the value of the whole thing.
