January 30th, 2012
01:05 PM GMT
Hong Kong, China (CNN) - Facebook may soon update its status from “private” to “public” in what will likely be the biggest tech IPO in history. Reports say the social network could file registration papers as soon as Wednesday, for an initial public offering this May.
The tech giant is aiming to raise a whopping $10 billion. That would eclipse the previous U.S. IPO tech record set by Google. In 2004, the search engine and e-mail provider, raked in just under $2 billion.
If that $10 billion goal is met, it would give Facebook a value of between $75 billion and $100 billion.
However, the big question is: Can Facebook really be worth that much?
Its exact profitability - if it is profitable at all - is only known to some company insiders. But according to estimates from research firm eMarketer, we do have some idea of its annual revenue.
In 2011, Facebook is believed to have pulled in about $3.8 billion from advertisements like those “sponsored” sites on the right side of your Facebook page. That figure was just more than 100% higher than its 2010 number, and more than 400% in 2009.
One thing is certain: many of Facebook’s 3,000 employees will become millionaires overnight.
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