It’s also worth noting that Metcalf’s law assumes an equality in value for all connections. That’s close enough to true in some contexts, but in general we don’t value all connections the same. The value of most connections are zero, and some are downright negative.
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I suspect much of the drop was in reaction to a number of measures Facebook has claimed they will take (perhaps half-hearted, quite possibly insufficient, but still on paper in the right direction) to reduce some of their worst excesses, at the cost of not absolutely maximizing growth.
I’d cheer FB’s stock price drop a bit more, if it didn’t seem so much like celebrating the fact that FB is being punished for being a tiny bit responsible.
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OMG! Will there be a bailout and relief efforts to save the Investor Class hurt by this?
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I’m out of Facebook now and investing in rare tulip bulbs instead.
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Nah, corporations are people…
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1.5 billion people must surely be close to their entire potential user base. I am frankly amazed they can find that many people around the world to log on to their service.
You’ve met my racist brother-in-law then?
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It’s simpler. At one point they just switch the metrics by which they judge growth. DAU is just a proxy number anyway. At some point they will start talking about better monetizating existing users. This is what any company would do. The investors care about growth of business not necessarily growth of user base.
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