Tag Archives: mark zuckerberg

WTF Are You Thinking, Snapchat?

Snapchat founders Evan Spiegel and Bobby Murphy

It’s been a while since I’ve blogged but I’m just a little outraged at the moment and I need to let it out.  Snapchat’s 23-year old co-founder and CEO, Evan Spiegel, gets offered $3 BILLION (with a B!!) in cash from Facebook, and the kid turns it down?  Who do these kids think they are?

I don’t even understand how this kid is eating and paying bills now.  Even with millions of users, Snapchat has yet to make a single dollar of revenue, and it has not shown any clear strategy of how they plan to be profitable.  The company’s founders are also in a controversy over whether they did or did not cheat a friend out of his fair share.

Spiegel’s obviously holding out for a bigger payday, as Snapchat has been getting some serious attention from other investors and potential acquirers, such as Chinese e-commerce company Tencent Holdings.  Tencent supposedly offered to lead an investment that would’ve valued Snapchat at $4 billion, but Spiegel might be waiting for something even bigger than that.  According to anonymous sources, “Evan Spiegel, will not likely consider an acquisition or an investment at least until early next year. … Spiegel is hoping Snapchat’s numbers … will grow enough by then to justify an even larger valuation.”

This isn’t the first time that Facebook has tried to acquire Snapchat.  Last year Facebook reportedly offered Snapchat a $1 billion buyout.  After they were denied, Facebook took a stab at creating its own ephemeral messaging app- anyone remember Poke?  Probably not, as it was a flop.

I certainly respect holding out for what you think you’re worth to a certain extent.  But when Mark Zuckerberg offers you a room full of cash-filled suitcases, you take the money, say thank you and move the fuck on!  Go travel the world, kid.  Buy your parents a nice house.  Start a new project.  What is $4 billion really going to buy you that $3 billion can’t?

Some people say that we shouldn’t be calling Spiegel and the guys at Snapchat crazy for turning down Facebook’s cash offer. A writer at CNN thinks the company was smart to hold out because it has something other social media services don’t: erasable messages.  So what?  Snapchat’s erasable messages are cool today, but next week something else will be the hot new thing. After all, it is the teens and young people who use the app, and we all know how fickle this age group is.  I think it’s a pretty big gamble for Spiegel to wait until next year, especially when this is $3 BILLION (again, with a B!!) at stake.

It might be possible for the guys at Snapchat to get more money from the competition between prospective investors and would-be acquirers, but I don’t think it’s worth the risk of overplaying their hand and crashing and burning.  Either way, it should be an interesting next few months for Snapchat and I can’t wait to see how this all plays out.

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Mark Zuckerberg is Glassdoor’s Highest Rated CEO

It’s been a bit of a rough year for Facebook and its CEO, Mark Zuckerberg, following the social network’s disastrous IPO last May.  The company’s stocks have dropped and Zuckerberg has had to deal with some harsh critics.  But he must be doing something right, as he has defeated Apple’s Tim Cook as the highest rated CEO.

According to Glassdoor’s 2013 Highest Rated CEOs index, Zuckerberg received a 99% approval rating from his employees, which is a 14% increase from last year.  While Zuckerberg’s approval rating went up this year, Cook’s went down 4%, from 97% to 93%.  This was enough to not only push Cook out of the top 10, but all the way down to the 18thslot.  Cook’s decline comes about a year and a half after the death of former CEO Steve Jobs and as the Apple’s stock has tumbled almost 40% from all-time highs.

Glassdoor is a free jobs and career community online that offers an inside look at jobs and companies.  The site features “employee generated content” – anonymous salaries, company reviews, interview questions, and more – all posted by employees, job seekers, and sometimes the companies themselves.

To compile its list of Highest Rated CEOs, Glassdoor surveyed hundreds of thousands of employees across many industries.  CEO approval ratings are calculated much the same as presidential approval ratings.  Employees were asked questions such as “Do you approve or disapprove of the way your CEO is leading the company?”

One unnamed Facebook employee told Glassdoor that Facebook possesses “an open community from Zuck on down.” There is “mutual trust companywide and a sense of community and drive, instilled by our CEO who we all truly respect.”

After Zuckerberg, the rest of the top 10 included, in order:

  • Bill McDermott & Jim Hagemann Snabe, SAP (99%)
  • Dominic Barton, McKinsey & Co. (97%)
  • Jim Turley, Ernst & Young (96%)
  • John E. Schlifske, Northwestern Mutual (96%)
  • Frank D’Souza, Cognizant Technology Solutions (96%)
  • Joe Tucci, EMC (96%)
  • Paul E. Jacobs, Qualcomm (95%)
  • Richard K. Davis, U.S. Bank (95%)
  • Pierre Nanterme, Accenture (95%)

Click here to see the full list of Glassdoor’s 2013 Highest Rated CEOs.

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Facebook Shares Drop Below $20 Again

So much for a big comeback from Facebook’s stock.

After Facebook stock hit an all-time low of $17.55 a share at the beginning of this month, Mr. Zuckerberg came forward and promised not to sell any of his stock for at least a year.  It was a move that was set to reassure investors and staff who were nervous about Facebook’s stock decline since its IPO in May.  It seemed to work at first, with the stock rising back up to more than $23.

But now the stock has fallen back down below $20 a share in early trading today for the first time in two weeks.  Facebook’s stock has declined this week following a particularly damaging report in Barron’s, which claims that Facebook’s stock is still extremely overvalued and should only be priced around $15 a share.  Another report from IDC also found that the majority of developers surveyed believe that a mobile-first startup would be “likely to very likely” to take away market share from Facebook.

Even though Zuckerberg assured investors that he and the company take mobile seriously, it seems like they have gotten nervous once again.  What is Mark Zuckerberg going to do to try and save the day this time?

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Casey Kurlander, Search marketing Specialist, BMI Elite