Facebook fatigue: Users drop as social media site plans IPO

14th June 2011

The latest float speculation is reported here on Australia's The Age.

In the UK, the Daily Mail, no friend of the social networking site in the past, reports a drop of 100,000 in UK users and all fall off in other key markets.

In the U.S. user numbers dropped from 155.2million to 149.4 million throughout May. Canada saw a fall of about 1.5million users, while users fell in Russia and Norway too.

The source of the Daily Mail story is website Inside Facebook.

The website says: "So far, Facebook has been able to make up stalls and losses with big gains in heavily-populated developing countries like Mexico, Brazil, India and Indonesia."

Inside Facebook also provides a handy table of where new users are coming from.

However, while it believes Facebook should exceed 700m users sometime soon, Inside Facebook is uncertain whether it can get to the magic one billion users globally at least without cracking the Chinese market and the Chinese do not seem all that keen on letting them do so.

However Facebook, talking to the Daily Mail, queried the picture painted by the figures. "From time to time, we see stories about Facebook losing users in some regions."

‘Some of these reports use data extracted from our advertising tool, which provides broad estimates on the reach of Facebook ads and isn't designed to be a source for tracking the overall growth of Facebook.

‘We are very pleased with our growth and with the way people are engaged with Facebook," a spokesman said.

Certainly the latest world map of social networks by Vincenzo Cosenza and reported here on website Tech Crunch reveals Facebook's extraordinary dominance. In an article entitled 'It's a Facebook world. Other social networks just live in it.'

But the site does have some detractors on the comment boards, who are suggesting ‘better destinations' for you money, though we cannot of course know if any commenters have vested interests or not.

Carlson Yamamoto from Hawaii, posting on the UK site This is Money writes:

"If Facebook continues to lose an average of 7 million users per month in the United States, Canada, and EU…regardless of what strides it makes in developing countries, their ad dollars and main revenues come from the users they are currently losing. 100 Billion IPO in Q1 or Q2 of 2012? I'd save some of those monies you were planning to buy those facebook stocks with, and get ready for ONLYMEWORLD!

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