The presumption (maybe its only my assumption) is that by creating a frankenstein of social media properties, it will recreate a similar phenomenon seen on more popular social networking sites. Namely a higher amount of time spent on the parent URL, a higher average number of pages seen, and therefore, a higher volume of ad units sold. That’s besides all of the other ‘revolutionary’ ways that advertising could be sold — such as paid placement for prominent groups, fancy integrative sponsorships and so on.

Oh, that and “buzz” to pump up the CPA.

Presuming also that we are using pageviews as a metric. Which many places aren’t, I know. But perhaps time on site, then.

cheers,
t @ dji

Well, I’m not sure how much Yahoo! has in its treasury, but they have a market cap of around $30B right now. Granted, a lot of it does have to do with the final price, and the issue of whether Facebook could be sold at any price at this time.

Cheers
t @ dji