Facebook is one of the most popular social media platforms in the world today, with over 2 billion monthly active users as of 2022. But when exactly did this social media giant get its start? Let’s take a closer look at the history and origins of Facebook.
The Pre-Facebook Days
Before launching Facebook, Mark Zuckerberg attended Harvard University as a psychology major. In 2003, as a sophomore, Zuckerberg created a website called Facemash. The site pulled photos of female Harvard students from the online facebooks for residential houses (which Harvard used to help students get to know each other) and allowed users to rate their attractiveness. This caused some controversy on campus, and the site was soon shut down.
The experience of creating Facemash made Zuckerberg interested in the potential of a social networking site for connecting Harvard students. At the time, there was no centralized online student directory, and students had to rely on printed facebooks from each house and paper address books. Zuckerberg saw an opportunity to create a better digital student community.
The Creation of thefacebook.com
In early 2004, Mark Zuckerberg started working on a new website along with fellow Harvard students Eduardo Saverin, Dustin Moskovitz, and Chris Hughes. The initial idea was to create a social network just for Harvard students, as a way for them to connect with each other online.
Zuckerberg and his co-founders set up an office in Harvard’s dorm room and began developing the site. They used online sources to assemble 500 student images and profiles for the initial launch. On February 4, 2004, Zuckerberg launched the first version of what was then called “The Facebook” from his Harvard dorm room. The domain name was thefacebook.com.
To sign up, users had to have a harvard.edu email address, which limited membership to Harvard students. The site started off fairly simply, allowing users to create a profile with a photo, personal information, and interests. They could also find other users’ profiles and send them messages.
Within the first month, over half of Harvard’s undergraduate population had signed up. It quickly expanded to other Boston-area schools like Boston University and MIT. By the end of 2004, Facebook had over 1 million users across college campuses nationwide.
Expanding Beyond Harvard
In 2005, Facebook expanded beyond just college students. First, membership opened up to high school students. Then later that year to anyone with an email address. At this point the “The” was dropped from the name, and it simply became known as Facebook.com.
Some key milestones for the growing company:
- September 2005 – Facebook launches High School Networks
- October 2005 – Facebook expands to work networks
- December 2005 – Facebook reaches 6 million users
- September 2006 – News Feed is introduced
- September 2006 – Facebook opens to anyone with an email address
By opening up beyond college students, Facebook saw rapid growth in its user base. By the end of 2006, Facebook had 12 million active users.
Relocating to Silicon Valley
In 2004, over the summer after Facebook’s initial launch, Zuckerberg and Moskovitz moved the company’s operations to Palo Alto, California. This allowed them to have better access to the talent pool and investors centred in Silicon Valley.
Some key events after the move to California:
- May 2007 – Facebook launches its developer platform
- October 2007 – Microsoft buys a 1.6% stake in Facebook for $240 million
- November 2007 – Facebook Beacon is launched (later shut down due to privacy concerns)
Being in Silicon Valley helped rapidly accelerate Facebook’s growth. By the end of 2007, Facebook had over 50 million active users.
Key Events in Facebook’s History
Here are some more key events and milestones in Facebook’s history after its initial founding and expansion beyond Harvard:
2008
- February 2008 – Facebook’s first acquisition, Parakey
- February 2008 – Facebook Chat (instant messaging) is launched
- June 2008 – Facebook reaches 100 million monthly active users
- August 2008 – Facebook “Like” button is introduced
- September 2008 – Facebook passes MySpace as the most popular social networking site
2009
- March 2009 – Facebook comments are introduced
- June 2009 – Facebook surpasses 300 million users
- October 2009 – Facebook introduces “Groups” for user communities
- November 2009 – Facebook becomes cash flow positive for the first time
2010
- April 2010 – Facebook launches its “Like” button for third-party sites
- April 2010 – Facebook launches its “Open Graph” protocol
- June 2010 – Facebook reaches 500 million users
- October 2010 – The Social Network movie about Facebook is released
- December 2010 – Zuckerberg named Time’s Person of the Year
2011-2012
- September 2011 – Facebook reaches 800 million users
- November 2011 – Facebook’s first office opens in Asia-Pacific, located in Singapore
- December 2011 – Facebook develops its facial recognition technology
- May 2012 – Facebook’s IPO raises $16 billion
- October 2012 – Facebook reaches 1 billion monthly active users
2013-2014
- March 2013 – Facebook introduces hashtags
- December 2013 – Facebook introduces auto-play video ads
- February 2014 – Facebook acquires WhatsApp for $19 billion
- March 2014 – Facebook acquires Oculus VR for $2 billion
- June 2014 – Facebook surpasses 1 billion mobile users
2015-2016
- January 2015 – Facebook launches “Friends Day” videos
- November 2015 – Facebook introduces Reactions for posts
- January 2016 – Introduces Sports Stadium in 360 video
- April 2016 – Launches Facebook Live
- September 2016 – Facebook surpasses 1.7 billion monthly users
Recent Years (2017 – Present)
- August 2017 – Facebook launches Watch platform for original video content
- April 2018 – Mark Zuckerberg testifies before Congress after Cambridge Analytica scandal
- May 2018 – Facebook introduces Clear History privacy tool
- October 2021 – Facebook changes company name to Meta
- February 2022 – Facebook loses daily users for the first time
Facebook User Statistics Over the Years
Here is a table showing Facebook’s user growth over the years, from its launch in 2004 up until 2022:
| Year | Monthly Active Users |
|---|---|
| 2004 | 1 million |
| 2005 | 6 million |
| 2006 | 12 million |
| 2007 | 50 million |
| 2008 | 100 million |
| 2009 | 300 million |
| 2010 | 500 million |
| 2011 | 800 million |
| 2012 | 1 billion |
| 2013 | 1.19 billion |
| 2014 | 1.35 billion |
| 2015 | 1.49 billion |
| 2016 | 1.74 billion |
| 2017 | 2.07 billion |
| 2018 | 2.27 billion |
| 2019 | 2.45 billion |
| 2020 | 2.60 billion |
| 2021 | 2.91 billion |
| 2022 | 2.96 billion |
As shown in the table, Facebook experienced very rapid growth in its first years, surpassing 1 billion monthly users just 8 years after launch. Growth has slowed in recent years but remains strong, now with nearly 3 billion global users.
Acquisitions Over the Years
Facebook has made some major acquisitions over the years, scooping up various companies to add new features and technologies:
Key Facebook Acquisitions
- February 2008 – Parakey (social startup founded by Blake Ross)
- August 2009 – FriendFeed (social news aggregation site)
- April 2012 – Instagram (photo sharing app), acquired for $1 billion
- October 2014 – WhatsApp (mobile messaging app), acquired for $19 billion
- March 2014 – Oculus VR (virtual reality company), acquired for $2 billion
- February 2020 – Scape Technologies (AR/computer vision startup)
Major acquisitions like Instagram and WhatsApp allowed Facebook to expand into new areas like mobile photo sharing and messaging. Buying Oculus got them into virtual reality technology. More recent acquisitions have targeted artificial intelligence capabilities.
Facebook’s Market Valuation Over Time
Here’s a look at how Facebook’s market valuation has grown over the years since its IPO:
| Date | Valuation |
|---|---|
| May 18, 2012 (IPO) | $104 billion |
| December 31, 2012 | $56.9 billion |
| December 31, 2013 | $134.5 billion |
| December 31, 2014 | $212.6 billion |
| December 31, 2015 | $294.5 billion |
| December 31, 2016 | $347.8 billion |
| December 31, 2017 | $522.6 billion |
| December 31, 2018 | $383.8 billion |
| December 31, 2019 | $631.7 billion |
| December 31, 2020 | $760.7 billion |
| December 31, 2021 | $932.8 billion |
| October 12, 2022 | $379.1 billion |
Facebook had the largest tech IPO at the time when it went public in 2012 at a $104 billion valuation. Its market cap rose steadily in subsequent years before peaking above $1 trillion in 2021. More recently it has declined significantly but remains one of the largest tech companies.
Conclusion
Facebook’s founding in a Harvard dorm room in 2004 kickstarted its incredible growth into the social media titan we know today. Some key milestones include opening access beyond college students in 2005, moving to Silicon Valley in 2004, reaching 1 billion users in 2012, and major acquisitions like Instagram and Oculus VR. Facebook is now valued at hundreds of billions of dollars and remains one of the tech world’s biggest success stories.