Four Challenges Facebook will Face After the IPO

15.05.2012
When Facebook goes public, it will enter a new world full of shareholder meetings, earnings reports, and the constant pressure to turn an increasingly bigger profit. But the isn't just about making money; it's also about expanding the network, in pursuit of Mark Zuckerberg's vision of a more connected world. With that in mind, here are four challenges Facebook will face after its public offering is complete:

Regain User Trust

Although Facebook's numerous haven't stunted its growth, they appear to be taking their toll on users' attitudes toward the service. A recent AP-CNBC survey of Facebook users found that 59 percent to keep their information private, and 54 percent wouldn't feel safe purchasing goods and services through Facebook. That could be a problem as Facebook tries to push social networking into more aspects of our lives.

To earn trust back, Facebook needs to be more transparent about what happens to user data, especially with third-party apps and Websites. Too often, users share information by accident, because Facebook relegates important details to . This only cements Facebook's reputation as a company that doesn't care enough about privacy.

More Mobile Dominance

Facebook is already one of the most popular phone apps, reaching 80 percent of U.S. smartphone subscribers over the age of 18, . But the social network could be much bigger than it already is, if only it could bring its own app ecosystem to phones and tablets. So far, rumors of a haven't come to fruition, nor has the chatter about for Facebook apps. That doesn't mean Facebook can sit on the sidelines forever. Eventually the company may try to become a major mobile player, with direct control over Facebook-connected apps and services.