Facebook investors get a present: Shares rise on new Gift service
What gives? If you’re talking about Facebook shares, it’s the news that the social networking giant is getting into online and mobile commerce by launching a new service that lets Facebook users send gifts to their friends.
Facebook rose 7% to $21.80 in heavy trading Friday after Facebook said it would begin rolling out Gifts that let users send real gifts – not virtual ones – such as T-shirts, eyeglasses, socks, chocolate and coffee. Facebook takes a cut from each transaction. It did not say how much.
Cantor Fitzgerald analyst Youssef Squali said while the service itself may not unwrap new riches for Facebook, he expects “many more innovations.”
ALSO:
Facebook tries to get into TV game
Facebook gift service may be present for firm, investors
Facebook CEO Mark Zuckerberg gives Facebook stock a bump
Follow me on Twitter @jguynn
Inside the business of entertainment
The Wide Shot brings you news, analysis and insights on everything from streaming wars to production — and what it all means for the future.
You may occasionally receive promotional content from the Los Angeles Times.
