Half of Americans think Facebook is a passing fad, according to the results of a new Associated Press-CNBC poll. And, in the run-up to the social network’s initial public offering of stock, half of Americans also say the social network’s expected asking price is too high.
The company Mark Zuckerberg created as a Harvard student eight years ago is preparing for what looks to be the biggest Internet IPO ever. Expected this week, Facebook’s Wall Street debut could value the company at $100 billion, making it worth more than Disney, Ford and Kraft Foods.
That’s testament to the impressive numbers Facebook has posted in its relatively brief history. More than 40 percent of American adults log on to the site —to share news, personal observations, photos and more — at least once a week. In all, about 900 million people around the world are users. Facebook’s revenue grew from $777 million in 2009 to $3.7 billion last year. And in the first quarter of 2012, revenue hit more than $1 billion.
Just a third of those surveyed think the company’s expected value is appropriate, while 50 percent say it is too high.
The privacy issue is a stinger. Three of every five Facebook users say they have little or no faith that the company will protect their personal information. Only 13 percent trust Facebook to guard their data, and 12 percent would feel safe making purchases through the site. Even Facebook’s most dedicated users are wary — half of those who use the site daily say they wouldn’t feel safe buying things on the network.
Facebook makes most of its money through ad sales, but 57 percent of users say they never click on them or on Facebook’s sponsored content.
81%
People ages 18-25 who use Facebook
50%
Baby boomers who use Facebook
21%
Senior citizens who use Facebook
