Facebook continues downward fall

Facebook’s first investor just sold most — if not all — of his stock. (Article link.) As everyone knows, you don’t sell your stock if you think it can go up and you can make more.

The company’s stock continues to plummet and some are calling for the head of the company (28-year-old Mark Zuckerberg) to step down as CEO.

Some of us saw this coming, before the company even went public: Facebook is going down, and fast.

My views remain the same as they did in early May when I wrote the above post. It may take five years (or even ten) but Facebook is going down like myspace did. (Yeah, I bet you’d forgotten that company.)

Facebook took a great product that was clean and hip and exclusive to cool college kids (who could post crazy photos and tell even crazier stories) and they whored themselves out to the entire public. Now there are parents and grandparents (not to mention employers) watching your every move, and the political messages from both sides have only made the place more miserable.

They’ve forced things down your throat like their Timeline feature, and more changes are on the way as they find still more ways to sell ads and monetize the site. We’ll all increasingly hate the place and migrate elsewhere.

Stan R. Mitchell

Oak Ridge, Tenn.

P.S. Please accept the greatest gift I can give.

P.P.S. Thanks to all who continue to make my novel Little Man, and the Dixon County War a huge success! It’s gone as high as No. 16 on the Amazon UK Paid List (see here and here), landing smack dab between a Louis L’Amour and Zane Grey book. And don’t forget to check out my newest novel (Sold Out). It’s already gone as high as No. 81 on the Amazon Paid List for the category of War (see here and here). Learn more about both books here.

Can Facebook fall any faster?

Facebook plunged another 9 percent yesterday.

I hadn’t planned on posting on this, but Facebook is my number one read subject the past couple weeks, so apparently you guys care about it.

As I wrote in the beginning of May, Facebook is going down, and fast. In that post, I laid out why I thought all the analysts were wrong — remember, back then, everyone was yelling and screaming about how awesome Facebook was and how big this could be once they went public on the stock market.

After I wrote that post, another blogger who’s way smarter than me had this to say (well over a week later):

This puts Facebook’s market cap at approx. $100 billion or more. To put that in perspective, Facebook is:

• Bigger than McDonald’s
• Two and a half times bigger than Ford
• Bigger than FedEx and UPS combined
• Bigger than Kraft Foods and General Mills combined
• Bigger than Boeing and Lockheed Martin combined

This is insanity. (Link.)

Let’s not forget the $10 million a year GM yanked in advertising from Facebook, nor how the stock price dropped 10 percent after they had a totally lame stock offering. (See story: Facebook stock plummets on second day of trading.)

At this point, Facebook is no longer a giant who’s feared. It’s looking increasingly weak, and these lawsuits aren’t going to help…

So, the moral of the lesson is this…

If your stock broker was raving about Facebook before it went public, fire him. (I’m a nobody and I saw this coming, as I laid out in the dated posts above.)

If the news you rely on was raving about Facebook before it went public, change the channel or get a different source. (The New York Times was highly skeptical in almost all its coverage.)

If your blathering friends or family was raving about Facebook before it went public, remember that the next time they’re yelling and fired up about something. Most people are idiots, and your friends and family probably fall into this category.

Just as you should network up in your business life (instead of down), you should also listen to those who show more wisdom. And more than likely, your broke friend or family member with the High School degree is NOT who you should be listening to.

Stan R. Mitchell

Oak Ridge, Tenn.

P.S. Thanks to all who continue to make my novel Little Man, and the Dixon County War a huge success! It’s gone as high as No. 16 on the Amazon UK Paid List (see here and here), landing smack dab between a Louis L’Amour and Zane Grey book. Learn more about it here.

Facebook stock plummets on second day of trading

I’m a day late in posting this, but I couldn’t pull off a blog post yesterday — been into some heavy editing on one of my novels.

Anyway, it seems my Facebook predictions just continue to come to fruition.

Three weeks ago, in the midst of all the Facebook greatness articles written by nearly everyone, I wrote this post: Facebook is going down, and fast.

Then last week, some serious evidence emerged that made me look like less of a lunatic. I’m referring, of course, to GM yanking a big $10 million a year in advertising with them.  (My post on that: Was I completely dead on regarding Facebook?)

And then the day after they had a totally lame stock offering, their stock price dropped 10 percent. (See story: Facebook stock plummets on second day of trading.)

Anyway, this will probably be my last post on this topic. It’s just nice to be right about something, since usually I stick my neck out too far with outlandish statements (like my original post on Facebook) and get it cut off.

Stan R. Mitchell

Oak Ridge, Tenn.

P.S. Thanks to all who continue to make my novel Little Man, and the Dixon County War a huge success! It’s gone as high as No. 28 on the Amazon UK Paid List, landing smack dab between two Louis L’Amour books. Learn more about it here.