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Mark Zuckerberg & Facebook: What's Next? II December 5, 2010

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This is the second part of Mark Zuckerberg's 60 Minutes interview in which he talks about Facebook's recent product launches. He also addresses concerns over the privacy controls for Facebook users.

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Facebook's launch of its new profile page will include a tutorial on all the new features, and for a while you'll be able to choose between staying with your old profile or upgrading to the new, where you get to tell your friends who you really are. We decided to take the opportunity of the launch to find out more about who Zuckerberg really is. As Facebook becomes an intrinsic part of so many lives, how the site came to be in the first place is now the fodder of creation myths, a handful of lawsuits, at least two books, and a movie: all focusing on its co-founder and CEO. *** STAHL: Half a billion people give you their personal information. Do you feel that because of that, they have a right to know a lot about you personally? About your values? ZUCKERBERG: Yeah, I think that because of that, we have to do a very good job of communicating, as a company, really. STAHL: No, you. I'm talking about you, Mark Zuckerberg. Is it important to know who's running Facebook in light of that? ZUCKERBERG: Yes. Yeah, it is. It is. STAHL: Interest in what makes Zuckerberg tick has heightened since the release of the movie "The Social Network," that depicts him as a callous genius, who betrays friends and principles to protect his creation, Facebook. The real Zuckerberg vowed he would never see the film; on opening day he changed his mind. ZUCKERBERG: We took the whole company to go see the movie. I actually thought it was pretty fun. STAHL: But I guess my question is: Was it hard to watch for you? ZUCKERBERG: In watching it, it's pretty interesting to see what parts they got right and what parts they got wrong. I think that they got every single T-shirt that they had the Mark Zuckerberg character wearing right. I think I actually own those T-shirts. And they got sandals right and all that. But I mean, there are hugely basic things that they got wrong, too. I mean, they made it seem like my whole motivation for building Facebook was so I could get girls, right? And they completely left out the fact that my girlfriend, I've been dating since before I started Facebook, right? STAHL: Wait, what? Say that again. The girl, your current girlfriend, you were dating back then? ZUCKERBERG: Yeah, I've been dating my current girlfriend since before I created Facebook. STAHL: You know, I've heard two reactions. One is about you very personally, and it's not so flattering. The other is that, "Wow, he's a really great entrepreneur." ZUCKERBERG: I get two reactions, too, but they're actually a little bit different from the ones that you said. There's a set of people who, I think, have been following the Facebook story who, I think, had a deeper analysis of which things in the movie were true and which ones were false and all that. Then the rest of people, I just think were pretty surprised and even amazed that, like, 'Wow, Facebook is an interesting enough thing to make a movie out of,' or 'This Mark Zuckerberg person, I never heard of him, like, this must be interesting.' And I can't tell you how many messages I've gotten from people who use Facebook writing in to say 'This movie was really inspiring to me. After seeing this movie, I want to start a company.' Or 'I want to go into computer science,' or 'I want to study math.' And if the movie had that affect on people, then awesome, right? I mean, that's great. STAHL: You almost sound enthusiastic about this movie. ZUCKERBERG: That part. STAHL: One part he doesn't like has to do with the Winklevoss twins, Tyler and Cameron. In real life, they're Olympic rowers who claim that when they were at Harvard, they had the idea of a university based social networking site first. That in 2003, Mark agreed to work on their project, but instead, they say, he ripped them off. CAMERON WINKLEVOSS: When we approached him, we had been working on the idea for almost a year at that point. We had a sophisticated code base. It wasn't an idea scribbled on a napkin. It was a very, sort of mature idea. And we brought him on to bring it to completion. TYLER WINKLEVOSS: We agreed to work on this project. He sabotaged our project; and he betrayed us. STAHL: There were other social networking sites already there. It isn't as if you had the first idea, right? You admit that? TYLER WINKLEVOSS: That's a typical argument that comes from Facebook that social networking existed at the time. We weren't individuals on separate sides of the country developing social networks unbeknownst to each other. We were teammates. We were partners. STAHL: So how did you actually find out that he was working on a different project? TYLER WINKLEVOSS: We found out by reading the Harvard student newspaper. STAHL: So that's the first you realized... TYLER WINKLEVOSS: Yup. STAHL: What did the article say? TYLER WINKLEVOSS: It said to the effect, Mark Zuckerberg launches the Facebook.com. It described a bit about it. We turned to each other and we said, 'Isn't that the Mark Zuckerberg that's working with us on the same project?' STAHL: So they sued, and in 2008 the case was settled out of court for a reported $65 million. But the twins have since appealed, arguing that Facebook misled them about the value of the stock in the settlement. *** STAHL: Why are you pounding away at this when you're making so much money? TYLER WINKLEVOSS: This is all about principle. STAHL: Well, I have to be honest with you, it doesn't look that way. It looks like it's all about money. TYLER WINKLEVOSS: No, you will have, I'm not sure anybody can quite put themselves in our shoes and understand what it must've felt like to start an idea in 2002, to approach a fellow student in 2004, to have it stolen, sabotaged, ripped off. STAHL: Recently leaked instant messages, reportedly from Zuckerberg's old computer, suggest he did deliberately delay the twins' project. TYLER WINKLEVOSS: He premeditatedly sandbagged us because he knew getting there first was everything. There wasn't room for two social networks at Harvard and universities around the country. STAHL: What do you say to people who say, 'Come on, give the guy a break. He was 19 years old'? CAMERON WINKLEVOSS: I know that when I was 19, I wouldn't have behaved that way. I would have, you know, certainly not betrayed fellow classmates. STAHL: Okay, big question. You guys on Facebook? WINKLEVOSS: Yes. We are. STAHL: Get outta here. *** STAHL: Let me ask you about the Winklevoss twins. They sued, you settled. They're still coming after you. ZUCKERBERG: You know, it's hard for me to fully wrap my head around where they're coming from on this. You know, early on, they had an idea that was completely separate from Facebook. And that, I mean, it was a dating site for Harvard. And I agreed to help them out with it, to help them. Right, I mean, it wasn't a job, they weren't paying me, I wasn't hired by them or anything like that. And then, the idea that I would then go work on something completely different, like Facebook, and that they would be upset about this all these years later is kinda mindboggling for me. Now, I mean, this is another thing that I think the movie really missed is, I mean, they make it seem like this whole lawsuit is such a huge part of Facebook's history. I've probably spent less than two weeks of my time worried about this lawsuit at all, right? STAHL: Maybe you should've worried about it a little more. ZUCKERBERG: Maybe I should have earlier on, right? But I guess the point that I'm trying to make is this has never been a big deal to Facebook or its evolution. STAHL: Do you feel any, any remorse at all about the twins or anything that happened with them? ZUCKERBERG: I mean, after all this time, I feel bad that they still feel bad about it. *** STAHL: Kara Swisher, editor of a website about high tech says she doesn't feel sorry for the twins. SWISHER: I'm sorry. They got paid $65 million for one medium idea that they never could've made into anything. STAHL: Well, you sound very sympathetic to Mark as an individual, to me. SWISHER: In this case, yes, 'cause he is the entrepreneur. I think he definitely tried to screw with the Winklevoss [twins]. That's clear. He promised to do a service for them he didn't do. He did. But he also did build the business without their help. STAHL: You are famous for coining the term "Toddler CEO," about Mark Zuckerberg. That was three years ago and you told us that you thought he was inexperienced and way too young to run this company. But three years later... SWISHER: He's done a great job. He's a prodigy. The toddler's a prodigy, as it turns out. *** STAHL: When I was here three years ago, they were calling you the Toddler CEO, and they don't say that any more at all. This is a tough question, but try: How would you grade yourself as a CEO, as the leader of this business? ZUCKERBERG: I mean, that is a hard question. STAHL: That is a hard question. ZUCKERBERG: I also don't think you can ever win by answering that question. Now, we've made a huge number of mistakes along the way. Right, now I always say I just think we've made probably every possible mistake you could make. STAHL: Is there a decision that you've made that the people around you told you was a mistake and you defied them and you were right? ZUCKERBERG: You know, the most famous one, I think, probably has to do with selling the company, right? I mean, in 2006Öwe had this opportunity to sell the company to Yahoo for a billion dollars. And we turned that down. I think a lot of people at the time thought we should sell the company. But you know, I felt really strongly and I think now, people generally think that that was a good decision." STAHL: Since that decision, the company has grown considerably. Estimates are that if there were an initial public stock offering - an IPO - today, Facebook would be valued between $35-and $50 billion. *** STAHL: Are you ever goijng to have the IPO? Ever. ZUCKERBERG: You know, maybe. STAHL: It's like you can't let go. ZUCKERBERG: I don't think it's letting go. Here's the way that I think about it: a lot of people who I think build startups or companies think that selling the company or going public is this endpoint. Right, it's like you win when you go public. And that's just not how I see it. STAHL: You're 26 years old. Feel old? ZUCKERBERG: Yeah. STAHL: Yeah, running this giant company. Your personal worth is said to be $6.9 billion. Do you ever just pinch yourself? Do you ever just say, 'Wow, this happened to me?' ZUCKERBERG: I mean, it is pretty crazy!
Courtesy of CBS News

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Mark Zuckerberg & Facebook: What's Next? II- December 5, 2010

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