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Facebook Makes $691,000 Per Employee

Sites include . Published on February 23rd, 2012. Written by Anthony West.

The tech sector has always polarized people. For many it’s a place of inflated salaries, inflated expectations and menagerie of experimentation. For others, it’s been the lifeline that many economies need, especially in the US. That polarization may just have some clarity to it—at least based on a recent study which shows how much tech companies earn in relation to the number of people they employ.

The study which was conducted Statista, suggests that companies like Facebook are able to generate maximum value for the relatively small number of employees that they employ. According to the numbers, Facebook generates around $691,000 per employee; a figure which is only dwarfed by Apple, Netflix and Google. Each earns $1.349 million, $1.068 million and $842,000 respectively per employee.

Facebook earns more per employee than Microsoft, Amazon, Zynga, Twitter, Linkedin and Groupon. But although Apple earns more per employee than Facebook, it is second to the social networking giant in terms of market cap per employee. Facebook has a current market cap per employee of $23.44 million, while Apple trails it miserably at $7.10 million. When Facebook does go public at the proposed $100 billion valuation, it will see its market cap per employee shoot up to $31.25 million.

To put thing into perspective for you, Facebook is able to generate the value it has employing only 3,000 people. GM, one of the world’s biggest manufacturers of cars needs 202,000 employees to generate just half of Facebook’s proposed $100 billion valuation. In other words, social networking as a product or service is perceived as being more valuable than a car. Fancy that?

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