Facebook: public enough for disclosure?

How public is Facebook?  That’s not a silly question but at the heart of a case which may decide the matter in the USA.

Publically listed companies have to tell all investors at the same time any facts which may affect their share price.  Netflix used Facebook to tell the world it had reached 1 billion hours of its film download service in June.  Public or not?

Netflix’s CEO has 200,000 followers on Facebook.  They got the message.  But he did not issue a press release, an investor letter nor a filing to the Securities and Exchange Commission (SEC).

For many Facebook has become the default means of communication.  How far will that be acceptable to the SEC?

And talking of Facebook: win a free ContentETC e-learning course by writing the best picture caption in our competition on no other than Facebook.

Leave a Reply

Your email address will not be published. Required fields are marked *