Sramana Mitra on Facebook

Mitra comes close to making sense of the mythical $15bn valuation, ie that multiplying up Microsoft’s investment to a full 100% and calling that the price-tag is nonsense.  Microsoft paid what they had to ($240m) to get the stake they wanted (1.6%).  That doesn’t mean that they, or anyone else would pay (100/1.6=) 62.5x that to acquire the whole company.

The challenge remains for Facebook to "show me the money".