Tuesday, July 17, 2012

What Could Help Facebook Stock To Rise?

Facebook IPO has not been as succesful as expected. The financial world was looking forward one of the most profitable IPO, for one of the hypest company to enter the stock exchange for a long time. During these difficult times, to see such a success story would have been a great opportunity to get some of the lost money for them.

Nevertheless, there was no miracle. Hopes were too high, and the stock prices lost about 30% of its value. What could explain such a fall? Well, of course the price of the stock was way to high. It was calculated on an expected growth of revenue, whereas the company is experimenting a new business model (social media, based on several sources of revenues including advertizing, but also selling access to its network to applications company and so on). 

What could help Facebook to Rise its Stock Price? 
Well, Facebook had a great growth of its audience since its foundation. Now the audience growth is going to remain, but the pace will slow down. It is now time to find ways to generate as much revenues as expected.

The best way Facebook could improve its stock price is to match the stock market expectations in terms of growth pace. But to be honest, I don't see it happening. I believe expectations have been to high, and it is not helping Facebook to have to keep up with a revenue growth pace, while they are still luring to find the good chemistry.

I have always been frightened by companies who are focusing on recruiting new users instead of building up business model, but right now, Facebook needs to find the best way to monetize its audience.

If Facebook tries to near the gap between its entry stock price and its actual price right now, it is a lost battle. The should rather instead focus on long term revenues, the ones that they may achieved in 3 to  5 years.

What do you think about it?

Monday, July 16, 2012

Why I Still Love Blackberry

Blackberry have made the headlines lately because of their downturn. Nobody knows where the Canadian company is heading and people may doubt if Blackberry will still exists in the next few years, or even few months. People blame the company for not having been able to follow Apple's lead, which defined with its Iphone the landscape of smartphones right now. 

I find very sad what is happening to Blackberry. Indeed, as a lot of you may know, I am a fan of Blackberry. You may call me a has-been, but I love their keyboard, which allows me to type in a glance, emails, tweets, new appointments or tasks.

Here are the main reasons why I love my Blackberry bold:
  • Once again, I love the keyboard. It is sharp, and I can type like crazy. I bet no one can type as fast as me on a Blackberry keyboard while using any touch screen device. However, I believe that the Bold with its tactile screen is also great, because it ads a better experience while surfing on the Internet I must admit. Nevertheless, both are key to me.
  • I love the way I can manage my schedule, my tasks, and all my pros activities. My blackberry is at the core of my Getting Things Done Strategy. The only thing I regret is that I would love to have an online web interface while sitting in front of a computer, or also a tablet application (I own an Ipad, don't plan to by their Blackberry book). 
  • The handheld is of great quality. In terms of the components, the camera is great.
Now here are where they could have improvements:
  • They could have a better battery life: I am constantly charging my phone. I must admit though I am using it like crazy.
  • The lack of applications. I have great applications. For example, the trip app is just awesome. Also, the one to deal with social media, and Twitter. Nevertheless, they have never achieved to get enough applications in their Blackberry app world to really get the most of the phone. They came to late on that market, when Iphone has been a trail blazer, and Google generate a lot of attention by creating an open market place, then for Blackberry it was hard to find its place. And to be honest, I think they will never get back.
Now that Blackberry said they would focus on tactile screen and abandon their keyboard, I have no idea what will be my next phone. But I really hope Blackberry find its way out.