Boston, MA 12/30/2013 (wallstreetpr) – The recent study in Europe which showed that teens are exiting from Facebook Inc (NASDAQ:FB) doesn’t come as a big surprise. The company had already talked about this during the conference call, which followed the Q3.14 results. It observed that young people are leaving the network for the newer and perhaps more private social networks such as WhatsApp, Snapchat and others like Twitter Inc (NYSE:TWTR).
Since FB understands this problem, investors shouldn’t be worried. In any case, the University College, London study does confirm that Facebook Inc (NASDAQ:FB)’s Instagram is actually gaining ground. The study showed that Instagram is among the apps which are winning young people from Facebook Inc (NASDAQ:FB).
The game plan
It has been noted that Facebook Inc (NASDAQ:FB) is growing very popular among the older generation. This being the case, the network’s co-founder Mr. Mark Zuckerberg has been saying that the game plan is to turn the service into a utility. In other words, this networking platform thinks that it can be just as important as power grid or the water supply. It is known that young people don’t appreciate utilities until they come to a certain age. So essentially, Facebook Inc (NASDAQ:FB) believes that it will eventually win back the exiting population after some time.
But even before then, the company has already invested in a networking service that is vying well in attracting the teens in the social media. This investment is Instagram which recently witnessed some tweaks to attract the young people.
Growth
In 2013, Facebook Inc (NASDAQ:FB) has witnessed impressive growth both in its user-base and revenue. In fact, the company reported adding substantial number of users every quarter this fiscal year. This essentially means that its 1.2 billion user-base is not likely to suffer anytime soon. So this is a service and business that is here to stay.
In terms of stock price, Facebook Inc (NASDAQ:FB) is up significantly this year, trading strongly above $55 per share, having risen from the ebb of $17.78 per share in Sept. 2012.
