As you read the breathless reviews of Facebook’s Q2 2014 results, remember that the entire App economy depends on a tiny group of whales who spend hundreds of dollars a month on in-App purchases.
This is terrifying.
Facebook’s stock price is the second derivative of in-app purchase revenue. Things are highly geared, and incredibly risky. Which isn’t to say that you can’t keep making money on $FB; just know the risks you’re running.
It’s only a matter of time before Tim Cook makes a move to capture some of the App advertising market for himself.
All that said, well done Facebook!