($240,000,000 / (0.016 + x)) != $15,000,000,000

Attention world: Microsoft did not pay $240 million simply for a 1.6% stake in Facebook. They paid $240 million for a 1.6% stake in Facebook and the privilege of being Facebook's only ad supplier for visitors from outside the United States. So unless you're valuing that privilege at $0, stop spreading this ridiculous valuation estimate around.

This entry was posted on Thursday, October 25th, 2007 at 5:51 am and is tagged with Facebook, Microsoft. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.