It's Zuck's World We're Just Living In It
The Federal Trade Commission broadened restrictions on the types of data companies can gather on Internet users under the age of 13, and closed a loophole that allowed third-parties to gather kids’ information without parental approval. [FTC]
So much for Facebook’s anticipated external ad network, at least for now. The social media giant is halting testing on a program that would use social data to place ads on third-party sites. [AllThingsD]
The New York Stock Exchange touted its role in the startup community, noting that 52 percent of 2012′s tech IPOs listed on the Big Board, and and even showing enough tact to refrain from mentioning that Facebook’s high-profile IPO debacle wasn’t one of them. [NYSE]
Elepath is set to launch Moonbase, a plug and play service that lets users create web animations—without learning how to code. [The Verge]
Alas, the terrible things that didn’t happen to Flavorpill digital media developer James Reston as he skated his longboard to work. [The Onion]
Here’s wishing you an ff-ing happy holidays. [David Teten/ff Venture Capital]
It's Zuck's World We're Just Living In It
It appears NASDAQ’s campaign to convince Facebook to list its I.P.O. with them over the New York Stock Exchange has proven successful: inside sources told the New York Times today that Facebook has chosen NASDAQ. “The social network will list its shares on the Nasdaq under ticker symbol ‘FB,’ according to people familiar with the matter, who demanded anonymity because the discussions were private,” said the Times.
IP Uh Oh
Mark Zuckerberg still hasn’t announced which stock exchange he wants to call home, but that hasn’t stopped NASDAQ and the New York Stock Exchange from sniping at each other in the press.
Their bitter rivalry is underscored by the fact that their business is “being eroded by other global exchanges and upstart electronic-trading venues,” reports the L.A. Times.
It’s official. No one at NASDAQ has been reading The Game. Today NASDAQ, which already boasts a Look at me! I’m one of you! Tumblr, made its designs on the local startup scene obvious by partnering with the mothership: New York Tech Meetup. The press release says that the partnership will be “focused on engaging, educating and promoting New York City’s technology community in unique and relevant ways,” but leaves out the implied plea to future Mark Zuckerbergs of the East: Don’t forget us when its time to IPO!
The NASDAQ and New York Stock Exchange would both love for Facebook to IPO its stock there. Last week, it was reported that Facebook had reserved the symbol FB for use “on either exchange,” which gave some business news readers pause. Wait a second, a two-letter symbol? Doesn’t that mean anything anymore?
It used to be that traders could tell at a glance whether a company was listed on the NASDAQ or NYSE: the former used a four character symbol convention and the latter allowed for one to three character symbols. But the vanity tickers became a bargaining chip in the battle for IPOs between the exchanges, which has grown increasingly heated. Most companies want a symbol that fits with their brand, like LNKD, AMZN, GRPN, AAPL, or NYT.
The stock exchanges in New York rely on some massive data centers and high quality fiber to send and receive trades from all over the world at top speed. But as the demand for high quality hosting explodes in New York, the NYSE is hoping to book some additional revenue by opening up its Mahwah, New Jersey data center to clients outside the broker dealers they were already working with, booking a little extra revenue on the side.
One Two Wall Street's Coming For You
On his blog New York Summer, HackNY fellow Akarshan Kumar has been thoughtfully posting about all the tech luminaries that come to influence young minds towards the start-up life and away from Wall Street. The latest lecture notes come from SecondMarket founder Barry Silbert, a former banker himself.
Using examples like the decreasing rate of IPOs over the past decade, the flash crash last May, the impact of high-frequency traders, and the decreasing average holding period of stock (down to just 2.8 months), Mr. Kumar says, “Silbert claimed that the public markets are broken, probably even beyond repair, and that the future lies in private markets.”
Aviary, the start-up behind a suite of online editing tools, is never one to shy away from an open API contest or public encouragement to build killer apps, so it’s no surprise they’re coordinating an upcoming Photo Hack Day at General Assembly. What is surprising is that NASDAQ just signed on as a sponsor. “It isn’t often you hear about stock exchanges getting involved with startups, unless it’s to help them IPO,” notes TechCrunch’s Jason Kincaid, who seems to be acclimating to the city’s tall buildings. But we think that might be exactly what they’re after.