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Thursday, February 2, 2012

Facebook says censorship, restrictions pose revenue risks


Facebook has said it faces risks of content censorship and other kinds of restrictions by the governments of one or more countries and this could hurt its revenue growth.

Without naming India or any other countries where it sees the possibility of censorship or other restrictions, the IPO-bound company said it would also continue to pursue an entry into China, where it has been denied an access so far.

"However, this (China) market has substantial legal and regulatory complexities that have prevented our entry into China to date. If we fail to deploy or manage our operations in international markets successfully, our business may suffer," Facebook said. 
"China is a large potential market for Facebook, but users are generally restricted from accessing Facebook from China. We do not know if we will be able to find an approach to managing content and information that will be acceptable to us and to the Chinese government," it added.

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