On February 1, Facebook filed to go public. The company hopes to raise $5 billion, which would be nearly three times larger than Google’s 2004 IPO, which set a record by raising $1.7 billion.
Facebook is expected to go public in May and, according to USA Today, it will make billionaire owner Mark Zuckerberg even richer. Zuckerberg, who, according to the article made $1.49 million in 2011, will opt for only a $1 salary in 2013.
What is the reason for such a low salary? Facebook being made public will make Zuckerberg’s, who owns 28.4% of Facebook shares, personal worth $24 billion.
Other than the fact you can buy a share of the world’s most powerful website, should you care about Facebook going public?
Molly Wood, an executive editor at CNET, warns people to stay away from buying shares of Facebook. According to Wood, while she still believes the company will continue to be successful, she doesn’t see enough growth in the future to make the investment – which she believes will be expensive – worthwhile.
On the other end of the spectrum, Investment News reports that if Facebook finds success, other IPOs could benefit greatly and 2012 could become a banner year for companies that decide to go public.
In the end, Facebook going public will not have any effect on most of our lives – except for those of you that choose to buy shares.