In theory the reason for this is that Facebook is "stickier" than Google or Amazon. If Google search isn't working for you, you can switch to something else in a heartbeat. If Facebook isn't working for you, you have to get all your friends to switch to something else before you can.
The problem is this is also going to be Facebook's downfall at some indeterminate future date. Because if some other social network ever becomes more popular than Facebook, Facebook is over.
I'm relatively tech savvy, but I'm not sure my significant other would know where to go if Google was down. DDG or even Bing are not top of mind. What else is there?
bing is actually pretty good. sometimes google's selection bias to what it knows about me prevents me from getting to the results I want so i either search in incognito mode or search in bing.
It was a social network; just an inferior one to Facebook. They lost to Facebook because Facebook was a more pleasant site for social networking, which made it more popular.
If you were in Germany, you may not have seen this, because MySpace didn't enter Germany until 2006 or 2007. At that point, Facebook was already starting to beat them with new users. By 2008, the established user base of MySpace was fleeing in droves to Facebook. The network effects that would have created social pressure to stay actually caused it to collapse even faster.
There is nothing that would prevent this exact thing from happening to Facebook. If a better site were to come along (or if Facebook were to become vastly less competitive than they are now), the social pressure could actually cause them to collapse just as fast as MySpace did.
Amazon has a radically higher multiple than Facebook. About six times higher, being charitable with Amazon's flaky net income.
Facebook will hit $13 or $14 billion in net income for fiscal 2017. Explain to me how a 27 or 28 pe ratio is unsupportable when you're growing net income at 30% or higher.
Meanwhile Google is growing its net income at 18% with a PE of 30. A far more lopsided ratio than Facebook has now, and one that is going to get much worse in just the next four quarters.
So you're wrong on both counts. Facebook has the superior value proposition based on valuation to net income + factoring growth rate.
I knew those people where out there, but there are almost as many people googling "google" as "youtube". Why? How many just want to get to google, and how many or doing something intelligent?
I used to think this was dumb as well, until I realized that if you type "google" into the address bar of Chrome, Firefox, or Safari (possibly IE too, I haven't used it since IE6), it runs a Google search. Nobody ever bothers with the .com anymore; why should they, when just typing the name of the site in will get to it? So a sizable number of people who go to Google Search get there by running a Google Search.
Also, a surprisingly large fraction of users cannot touch-type. They've been trained to go to Google to search, so they type in g-o-o-g-l-e-ENTER and get where they intended, and never notice the autocomplete suggestions showing up in the Omnibox or the fact that they could just type their whole query in and get answers.
https://trends.google.com/trends/explore?date=all&q=facebook...