Chapter 139: How Can You Not Lower the Price?
In another world, Facebook also sought a $5 billion funding round before going public. However, that financing was an initial public offering, commonly known as an IPO.
Normally, after the IPO, the company is going public.
"Why do you want to raise $5 billion?"
Bill Gates raised his own question, in his opinion, Facebook now simply does not need to use so much money, and there is no need to choose such a large amount of financing when the valuation is not high enough.
Wen Ming didn't speak, he didn't mind Bill Gates's question, because he was also curious, it was completely different from the Facebook financing journey he remembered.
Mark Zuckerberg said: "My plan was to raise $1.5 billion, and with that money, Facebook will be able to go public. However, after seeing these actions of Wen Ming, I feel that Facebook should not only focus on social networking sites. ”
Wen Ming was very surprised when he heard it, he didn't expect that Mark Zuckerberg's change was because of him.
In another world, Facebook's last funding was $1.5 billion, and the investors were a wealthy Russian man, along with Goldman Sachs Capital. Now it seems that Mark Zuckerberg has no choice but to spend $1.5 billion.
Mark Zuckerberg continued: "I first learned about Apple because of the game Plants vs. Zombies, and at that time, I never imagined that one day Wen Ming would become a shareholder of Facebook. ”
The appearance of Instagram not only made him a shareholder of Facebook, but also gave him funds to invest in the development and production of the iPhone. This investment direction has made Apple's valuation exceed $100 billion, and now, he has begun to invest in biotechnology, although there are only three velociraptors, but the valuation of Jurassic Island can definitely exceed $10 billion, of course, this will divide the technology of Apple's biotechnology research department into Jurassic Island, or rather, Jurassic Park that will appear in the future. ”
Mark Zuckerberg summed it up by saying, "Facebook now has more than 1 billion active users, but it's far below that huge user base in terms of revenue, and we need to change our strategy and find a way to turn our active users into our revenue." ”
The four people here are all world-class billionaires in the true sense of the word, and one is the current richest man in the world. So, when Mark Zuckerberg said these words, he did not hide it in the slightest.
Bill Gates nodded in agreement, although Apple's development time is short, there have been four major development directions.
In addition to the game that helped Wen Ming accumulate the first pot of gold at the beginning, there are also social software such as ins, hardware products such as iPhone and iPad, and biotechnology from Jurassic Island. If you calculate carefully, just the iPhone and iPad can divide a lot of development directions.
For example, Apple Music on the iOS platform, Apple App Store, etc., any kind of product can become a product that a company relies on to survive. But Apple has been able to orchestrate all of this to create a near-perfect ecological empire.
Bill Gates asked, "Are you also ready to move in the direction of hardware?" ”
Mark Zuckerberg nodded and said: "Yes, but my hardware development direction is a completely new product, which is a product that combines IFI and drones, which can complete IFI coverage in non-signal areas in a short time." Also, because the equipment I envision can be moved at any time, we don't have to worry about inventory costs. ”
Wen Ming became interested, because this drone IPI was a hardware production plan announced to the world by Facebook in another world many years later. He didn't expect that Mark Zuckerberg already had this idea in 2009.
"This decision is very wise, and it is easier to start with the underlying terminal hardware."
Mark Zuckerberg expressed his gratitude to Wen Ming for agreeing with him, and he was not worried that several world-class billionaires present would plagiarize his ideas. Not only because I can't afford to lose that person, but also because of this UAV IFI equipment, it is impossible for only one company to produce it.
If this device wins the approval of the market, then there will definitely be a lot of competition in the future. Mark Zuckerberg is not afraid of competition, because he already has a billion active users, and in the future, the number of users will be even more.
Wen Ming opened his mouth and asked, "Mr. Bill Gates, are you interested in continuing to invest in Facebook?" ”
Facebook's shares will be very valuable in the future, Wen Ming firmly believes that Bill Gates's cognition is not as good as his, but he also knows that Bill Gates must also think that Facebook's market value will be very high in the future, but there must be a big gap between Bill Gates's prediction and Facebook's real market value.
Bill Gates shook his head and said, "Although I am very interested, since I want to take a stake in your Apple, then I can't participate in the $5 billion level financing." You know, I don't have more than $40 billion in cash. ”
Mr. Bill Gates, the richest man in the world, is now worth more than $40 billion, but Wen Ming's Apple valuation is $150 billion, so he naturally can't just want to take a few tenths of a percent of the shares, and the more shares he asks, the more money he will pay.
More than 40 billion is worth, not cash.
Wen Ming expressed his admiration for Bill Gates' choice, for capitalists, instead of investing in Apple, which has a strong revenue ability but a valuation of $150 billion, it is better to invest in Facebook, which has a relatively weak revenue ability, but there is a gap between the valuation and the future market value.
But Bill Gates' choice is undoubtedly correct, because Apple's market value in Wenming's hands is definitely more than that of Steve Jobs's Apple. Facebook, on the other hand, is still managed by Mark Zuckerberg.
"Mark, what do you think is Facebook's valuation right now?"
Since Bill Gates is not interested, Wen Ming will have to digest the $5 billion financing line alone. So, he started to care about Facebook's current valuation.
Mark Zuckerberg hesitated for a moment and said, "We think it should be $40 billion." Thanks to you, your Instagram has allowed us to occupy the social network on the mobile phone in advance, as well as the photo sharing market. ”
Wen Ming calculated a little in his heart, with a valuation of $40 billion, $5 billion can get 12.5% of the shares. And he owns Apple, and he doesn't need to cash out his shares to make money when Facebook goes public, so he can wait until 7 years later, when Facebook's market value reaches its peak.
At that time, according to Facebook's market value of $500 billion, his 12.5% stake was equivalent to $62.5 billion, far exceeding the current worth of Bill Gates, the world's richest man.
$5 billion turned into $62.5 billion in seven years, and even if there is inflation, this business is definitely a great investment.
"I probably agree with your offer, but the details need to be discussed more carefully."
Wen Ming knew that he had made a lot of money, but he was still unwilling, and he hoped that his subordinates could continue to lower Facebook's valuation when negotiating, so that he would earn more. You know, according to Facebook's future market value, if you can get an extra 1% of the shares, it is equivalent to an extra $5 billion in the future, how can you not lower the price?
Mark shook hands with Wen Ming and said, "It really needs to be discussed. ”