Facebook Goes Public

Facebook's IPO raised $16 billion in one of the largest US tech IPOs in history

May 18, 2012

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From Dorm Room to Billion Users

Mark Zuckerberg launched Facebook from his Harvard dorm room in February 2004, initially as a social network for Harvard students. It expanded to other universities within months and opened to the general public in September 2006. The site grew with extraordinary speed, reaching 100 million users in 2008, half a billion in 2010, and a billion in 2012. Facebook succeeded by making it easy to share updates, photos, and messages with a curated network of friends and family. Its model of connecting people who already knew each other offline distinguished it from earlier social networks.

The Biggest Tech IPO of Its Time

On May 18, 2012, Facebook went public on the NASDAQ in one of the most anticipated IPOs in technology history. Shares were priced at $38, valuing the company at $104 billion — the largest valuation of any U.S. company at the time of its IPO. Zuckerberg, then 28, rang the opening bell from Facebook's headquarters in Menlo Park via a video link. The IPO raised about $16 billion. However, the stock's debut was troubled by technical glitches on the NASDAQ and quickly fell below its offering price, disappointing many investors who had expected an immediate pop in share price.

A Platform and Its Consequences

Facebook's IPO ultimately proved a long-term success for investors — shares recovered and eventually rose dramatically. But the platform itself has faced growing scrutiny. Revelations about Cambridge Analytica's harvesting of user data, concerns about misinformation, and accusations that the platform amplified extremist content have made Facebook one of the most debated companies in the world. The company rebranded as Meta in 2021, signaling a pivot toward virtual reality. Its story raises fundamental questions about the responsibilities of platforms that connect billions of people. Use the age calculator to see how young Zuckerberg was when he took Facebook public.

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