FB - Facebook

[KCLarkin]

This is starting to get interesting at the current price.  My only concern is the upcoming iOS14 changes but overall its really cheap for it's growth.

Uggh. I might be forced to make this a full position.

[kab60]

Lots of ways to win here, Zuckerberg seems like a great CEO, I just always struggle with the durability of their platforms, and M&A is obviously a no-go. How do you get comfortable with FB being as dominant ten year down the line?

[Castanza]

Lots of ways to win here, Zuckerberg seems like a great CEO, I just always struggle with the durability of their platforms, and M&A is obviously a no-go. How do you get comfortable with FB being as dominant ten year down the line?

Agreed,

The social media market is anything but solidified. It's been around slightly more than a decade and I cannot say I feel confident in staying power for any of the large companies. Look at the past 4 years and how many new names have entered the market and garnered meaningful user bases.

Facebook and Instagram feel "tired" which is an anecdotal observation. On the flip side, the business is running like a top currently.

[LC]

Isn't facebook creating "Facebook Campus" which is just for students only?

In other words, the current Facebook is creating the previous Facebook. Presumably because the current Facebook is no longer appealing to this segment (which is a highly valued segment, unlike say the 50+year olds sharing pinterest posts about braising vegetables)

[Arski]

My opinion about Facebook is that they have great management and very creative people. Mark is definitely aware of the bear case for FB.

They are likely to search for more diversified instruments within their network (for example the marketplace within the Facebook app and going deep in IG shopping, payments etc.).

Their network is, right now, is just so incredible and I don't know exactly what kind of opportunities, but there are a lot of opportunities with billions of people on your social media apps.

[Spekulatius]

My opinion about Facebook is that they have great management and very creative people. Mark is definitely aware of the bear case for FB.

They are likely to search for more diversified instruments within their network (for example the marketplace within the Facebook app and going deep in IG shopping, payments etc.).

Their network is, right now, is just so incredible and I don't know exactly what kind of opportunities, but there are a lot of opportunities with billions of people on your social media apps.

The utility functions in FB - Facebook groups and facebook Marketplace and perhaps going forward FB dating are adding significant value. In my town, it seems that politics (discussions, web meetings ) are largely done within FB.  There is also Nextdoor, but I feel they are falling a bit behind.

I do think you have to assume that Mark Zuckerberg is going to steer the company in the right direction for the foreseeable future.

[michitche95]

I think FB is overvaluing the competition with Apple, in order to show the world that it is not a monopoly. In other words, IMO, the competition with Apple is the best things that can happen to FB in this moment. What do you guys think?

[johnny]

Eh, going to war with a company that:

1) Has hundreds of billions of dollars to spend on war and
2) Controls your distribution and ability to shape/design/monetize your product ~50% of your value-weighted userbase

...is not an ideal situation.

This competition is probably inevitable, so as long as it’s happening it’s wise to try to extract as much antitrust value as possible from it. But it’s hardly a fantastic development. Especially since I think a lot of shareholders of $FB are also overindexed on $AAPL. If you own both of these companies, obviously you’d vastly prefer some kissy kissy makeup over Facebook dumping billions into a Watch, Apple dumping billions into an Oculus, and both dumping hundreds of millions into lobbyists trying to inspire congresspeople to strangle the other to death.

[michitche95]

Right, but I am pretty sure Mark will know how to handle it and from the other side congressmen will not think FB is a monopoly

[michitche95]

Li Lu sold 27% of his Facebook position