Online = Free shit and that's what people expect now.
And yet, iTunes and Netflix are profitable business models in fields they pioneered.
Maybe that's how you perceive it, but it's far more then that. As I have said many times, Facebook has Grandma power.
The Boomers now have grand kids and aren't going to move social networks to be cool. Most of the Boomer's parents are still around and no one is moving them off FB.
Assuming that's true, FB will see a significant drop in ad revenue. Everyone knows young people are the ideal demographic for marketing, who will pay to advertise to old people that don't want to buy anything? That brings me to this:
The majority of current FB users reside in Europe, followed by Asia, followed only then by the U.S. and Canada (from data released at the FB IPO announcement). So basically, Facebook has already begun bleeding off from the most profitable user group, which also happens to be the user group that first pushed FB to prominence before it spread to Europe and Asia.
I stopped using facebook years ago, but it will never die. The thing this thread fails to realize is that people love to put themselves out there. People create profiles on anything they can get their hands on, so really, the companies are just giving people what they want.
All you need is a Google account to set up your own Blogger blog, or to use Gmail, or to share
actual work with people online via Google Docs and/or Google Hangouts instead of being stuck playing Farmville. The shitty thing about FB is despite all the evolution it's gone through, it's still fundamentally a gimmicky thing much like MySpace was. There's just no enduring functionality, and now it's really just like a 21st century phonebook and hey, you might as well use FB when your Google-developed Android phone comes with the app installed right from the service provider. I'm sure Google's having a laugh about that one, eh?
It's like Billy Gates said, "we overestimate the change that will occur in two years and underestimate the change that will occur in ten." Guess what year FB was founded?