Sean Parker: Facebook IPO 'the largest offering in history'
Napster co-founder Sean Parker, who at one point worked as Facebook's president (he owns 4 percent of the company), recently appeared in a CNBC. The first topic the interviewer asked Parker about was of course Facebook's initial public offering (IPO).
If you can't see the video embedded, here's a transcript a rundown of what Parker said. First he was about Facebook going public and whether the social networking giant is worth $100 billion. Here's the answer:
I think that it's inevitable. I can't comment as to timing. I do think that there's a possibility that it will be the largest offering in history. I don't know what the number is going to be. I think we're all eagerly anticipating that data.
Is today's market ready for Facebook? Parker thinks Facebook is the bubble:
I actually believe that to the extent that there's any bubble in technology at all it's really a bubble around Facebook in the sense that there's a huge amount of pent up demand amongst retail investors for access to Facebook equity. That's where you're seeing a lot of the valuations and a lot of these other IPOs that are basically leveraging off of Facebook. It's somewhat interesting and ironic that Zynga, which is built on Facebook's platform, which only launched a few years ago actually, went public before Facebook. It really speaks to Mark's desire to keep the company private for as long as possible and build a company in that environment.
As for if and when Parker will sell his Facebook shares, he answered: "I can't comment on that." The Spotify part of the interview is interesting but then Parker is asked about The Social Network, and it just falls apart.
See also:
- Facebook filing for IPO next week (rumor)
- Sean Parker: Facebook's power users have gone to Twitter, Google+
- Zuckerberg, Parker had drunk row over Facebook, Spotify (rumor)
- Sean Parker: use Facebook to make Spotify the next Napster
- Facebook's stock symbol will be 'FB'
- Facebook's finances leak for Q1 2011 to Q3 2011