Soon after writing my article this morning about ConnectU this morning, I saw the New York Times article suggesting that Facebook may be ready to settle the lawsuit and put it behind them. There are no details as to the settlement amount but I would guess after years of legal battles and high priced attorney fees, the Winklevoss brothers can expect a million dollar payout.
After seeing issues reignite late last week, I began to wonder if all of this would result in a quick settlement. With hundreds of millions of dollars in cash in their bank account, Facebook can easily write a check and be gone with the legal battles. It appears that this is what will take place. Will the Winklevoss brothers get some of the highly valued Facebook stock? I don’t think we’ll ever know but I can guarantee you that the twin brothers will walk away with smiles on their faces.
The New York Times article states, “Facebook clearly needed to make the suit go away before a widely expected initial public offering that could come as early as next year.” This definitely makes a lot of sense although I’m not quite sure why Facebook would go public anytime soon while they haven’t yet begun to generate substantial revenue. Regardless, it’s good to see the ConnectU case settled but it is definitely a strike against the somewhat flawless record of Zuckerberg.