The freedom of sharing your creativity or interest with others creates online communities the same way it creates them offline. The connectedness social media brings, is exactly what makes it "social" and the ability to print and write your ideas (in most countries anyway) means media has opened its definition to include more than just large media corporations. Social Media lets the online community share and essentially become producers of media in their own right, by sharing and the possibility to reach millions. Out of this environment emerged Facebook, Youtube, Twitter and others. Companies that organized the capacity into a tangible usable medium. Angel and Venture Investing These Social Media companies continues to allow them to expand their reach and add memberships, across the world. The question is will Social Media continue to grow into the future? Some Investors are betting the answer is a definite, "YES."
T. Rowe Price Funds, has invested in social media and related internet companies. The firm has $482 Billion in assets under management, and although it makes the $500 million they've invested in social media already, they can always invest more. Recent filings for example, shows the firm has invested $71.8 Million with Zynga - maker of games such as Farmville on Facebook - and $86.6 Million in Groupon. Here is an Article I found about the Investment Firm's Facebook Stake disclosed recenlty. T.Rowe Price's investments in Social media and related companies, is reported to be spread over more than a dozen of the firm's funds. As access to the internet continues to expand around the world, Investing in Social Media may end up being a wise investment after all. As participation on Social Media sites grow, so will the Ad revenue generated. This may very well attract even more investment dollars to the Social Media sphere, allowing them to grow and constantly enhance the social media experience. I've watched over the years, valuations of some of these companies, keep going up. Twitter and Facebook are valued at their highest ever. a few weeks ago, the NY Times reported Twitter had a valuation of $4.1 Billion.