Facebook Inc. (NASDAQ:FB) has faced a lot of criticism and skepticism in the months since its infamous initial public offering in May. And in the wake of a series of lawsuits that have been filed – including a few from investors who claim Facebook Inc. (FB) selectively disclosed negative information about its company – there has been a fact-check mission to determine much of the information and where it might have originated.
One piece of information about Facebook Inc. (NASDAQ:FB) that is coming out now is that the company actually revealed#mce_temp_url# in its IPO prospectus that its mobile strategy as being risky – a report that contradicts previous allegations that Facebook Inc. (NASDAQ:FB) did not properly disclose its risks in its filing with the SEC. A story recently reported that the SEC and Facebook (NASDAQ:FB) got into a legal fight over Facebook’s desire to keep its mobile risks out of its prospectus, but the SEC won and the company did list them in its prospectus.
Facebook Inc. (NASDAQ:FB) stated in its original February filing with the SEC, “Growth in use of Facebook through our mobile products, where we do not currently display ads, as a substitute for use on personal computers may negatively affect our revenue and financial results.” An official with the SEC had questioned some of the figures in the filing, alleging that some mobile users have been counted twice and had asked Facebook Inc. (FB) to clear up its numbers.
Facebook Inc. (NASDAQ:FB) CEO Mark Zuckerberg admitted that mobile was likely the deciding factor in the overall success of the company when he said at a recent conference that “how well we do with mobile is how we’ll be judged.”
Indeed. And judgement may come most notably from investors in Facebook Inc. (NASDAQ:FB) stock, like billionaire fund manager George Soros of Soros Fund Management.