Calculating Facebook's value by figuring out how much you'd have to pay users to quit

Inaccurate way to calculate. More like:

  1. Take value of a third party company (say, Apple) to make a viable competitor and take 1/3 of their revenue. $1B to build and marked a product to earn $10B a year = no brained.

  2. Once a viable option exists from a company that is more trusted and doesn’t have a history of revealing customer data intentionally (and taking breaches seriously), THEN ask customers how much they’d pay to switch.

3). Multiply that $0 by # of users. Zero times a billion is still zero.