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Facebook: People
built 220 days ago
The beauty of Facebook, as opposed to Myspace and other social networks is that the people on there are for the most part who they say they are, and Facebook does their best to dismiss those who aren't. This simple differentiation makes the membership base of Facebook far more valuable than any other social network.
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Advertising messages will gain distribution through what Facebook has termed the "social graph," the network of real connections through which people communicate and share information. When people engage with a business' Facebook Page, that action will spread information about that business through the social graph.
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As the industry watches the Palo Alto, Calif., start-up to see if it can translate its popularity into bigger profits, Facebook has made the new ad plan its top priority, say people familiar with the matter. The plan is at an early stage and could change, but the aim is to unveil a basic version of the service late this fall.
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The connections Facebook has assembled between people may not be perfect, but they’re the best out there by a long shot. And they have more personal information about more influential and well-connected people than anyone else.
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Facebook was founded by Mark Zuckerberg, a former Harvard student. Initially the membership of Facebook was restricted to students of Harvard College. It was subsequently expanded to MIT, Boston University, Boston College, Northeastern University and all Ivy League schools within two months. Many individual universities were added in rapid succession over the next year. Eventually, people with a university (e.g .edu, .ac.uk, etc.) email address from institutions across the globe were eligible to join. Networks were then initiated for high schools on February 27, 2006 and some large companies.
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Facebook hopes allowing advertisers to buy customized ads online will be a less labor-intensive way to take advantage of the personal data people reveal on the site. A key part of this new plan is that Facebook would use an automated system to process transactions instead of requiring advertisers to work with a Facebook representative, people familiar with the plan say.
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