The internet group already dominates search, so further market share gains will be difficult. Now Google is having trouble convincing social networkers to click on its ads. It better figure this out before a consumer slowdown hits.
The social networking site raised $240m from Microsoft and may pull in $500m more. That s an unusually large VC round. The reason lies in its hugely successful cultivation of thirdparty software developers. That makes the site sticky, but creates huge risks. Until these are under control, Facebook shouldn t go public.