Facebook investors get a present: Shares rise on new Gift service
What gives? If you’re talking about Facebook shares, it’s the news that the social networking giant is getting into online and mobile commerce by launching a new service that lets Facebook users send gifts to their friends.
Facebook rose 7% to $21.80 in heavy trading Friday after Facebook said it would begin rolling out Gifts that let users send real gifts – not virtual ones – such as T-shirts, eyeglasses, socks, chocolate and coffee. Facebook takes a cut from each transaction. It did not say how much.
Cantor Fitzgerald analyst Youssef Squali said while the service itself may not unwrap new riches for Facebook, he expects “many more innovations.â€
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