How wise would it be to buy stock in Facebook at the IPO?


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I think IPOs are always iffy.  There hasn't been anytime for the stock's natural valuation level to have been determined in the marketplace.  It is a hope, based on a limited information and history.    


It may just be my natural skepticism, but I just don't see Facebook as an innovative company that will indefinitely grow.  I see increased privacy concerns, both from an individual and legislative standpoint, as a potential limiting factor.  The question, as I see it, is whether Facebook has become, or in the future can become, a necessity of modern life.  You have some movement towards that in sites that require you to log in using Facebook ( comes to mind).  So you are force to engage with Facebook, whether you want to or not.    Of course, that can result in unintended blowback.  Speaking for myself, I now only use Facebook to log in to sites that make me use it. I don't accept friend requests because I don't want to be forced to share all of my friends information with countless entities.  


The other possibility is that something new comes along that we haven't considered.  Look at MySpace; it was the Big Dog for a period, and while it has experienced a bit of a resurgence lately, I doubt many people would consider it really important that one have a MySpace account.  Google+, while not yet a true competitor, may evolve into one over time.  All it takes is one new "thing" to come around, whatever it may be, and give people a better alternative to Facebook.  

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