Social Media And SecondMarket

SOCIAL MEDIA AND SECONDMARKET THIS NEW UPWARD TREND OF EMPLOYEES AND INVESTORS CASHING OUT IS CLOSELY LINKED TO THE TRADING ACTIVITY ON SECONDMARKET. Q2 2011 INTEREST IN SELLING SOCIAL MEDIA STOCK HAS FAR OUTSTRIPPED INTEREST IN SELLING STOCK IN RETAIL & COMMERCE, GAMING, AND SOFTWARE. THE INDUSTRY DEMAND FOR THESE STOCKS IS EQUALLY HIGH AS MANY SOCIAL MEDIA EMPLOYEES CONSUMER WEB & RETAIL & COMMERCE GAMING SOCIAL MEDIA SOFTWARE SELL WHAT STOCKS THEY CAN. CONSUMER WEB & SOCIAL MEDIA RETAIL & COMMERCE GAMING SOFTWARE Q4 2010 Q1 2011 WHO IS SELLING THEIR STOCKS ON SECONDMARKET? 100% FROM THE LAST QUARTER OF 2010 TO THE FIRST QUARTER OF 2011 THERE WAS A 22% PERCENT INCREASE IN COMPLETED TRANSACTIONS BY EX-EMPLOYEES. 64% (28%) 20% 4% 2%) 4%) (5% EX-EMPLOYEES EMPLOYEES OTHERS EX-EMPLOYEES EMPLOYEES INVESTORS OTHERS Q4 2010 A MAJORITY OF THOSE COMPLETED TRANSACTIONS (39%) CAME FROM FORMER EMPLOYEES OF FACEBOOK. THEY ACCOUNTED FOR NEARLY 40% OF TRANSACTIONS, MORE THAN ANY OTHER SOCIAL 7% 5% NETWORK. FACEBOOK LINKEDIN ETSY CASH OUT COMPANIES COMPANIES THAT ARE FEELING THE BURN ARE ALSO THE SAME ONES THAT WAITED TO GO PUBLIC AND HAVE HUGE VALUATIONS. FACEBOOK 2009 SINCE FACEBOOK'S VALUATION HAS SOARED TO NEARLY $50 2011 BILLION, EMPLOYEES WHO OWN STOCK OPTIONS AND HAVE BEEN AT THE COMPANY SINCE ITS EARLY DIGITAL SKY TECHNOLOGIES T.ROWE PRICE YEARS ARE EAGER TO PROFIT. SEEING THIS, FACEBOOK HELPED TO BROKER TWO SALES FOR ITS EMPLOYEES. $100 MILLION $198 MILLION GROUPON EVEN MORE SO THAN FACEBOOK, GROUPON HAS SEEN NOT ONLY ITS EARLY EMPLOYEES CASH IN THEIR STOCKS, BUT THEIR EARLY INVESTORS AND FOUNDERS. THE $946 MILLION $810 MILLION RAISED FROM INVESTORS IN DECEMBER 2010. COMPANY HAS BEEN QUICKLY WENT TO CHIEF EXECUTIVES LOSING MONEY. INCLUDING ANDREW MASON, ERIC LEFKOFSKY. $120 MILLION ADDITIONAL FUNDS TO CHIEF EXECUTIVES IN APRIL 2010. INTEREST TO SELL INTEREST TO BUY FOUNDERS