Precisely. People are not going to pay to be social on the internet. It's hard enough to get them to pay a cover in real life - why would they pay to be semi-social on the internet? The only hook for facebook is that they got the 40+ demographic. Myspace did not capture that.
A few weeks ago, there was an article on one of the major magazines called, "Apple now at 700, poised to go to 900" or something to that effect. It was at 700/share at the time. I checked all over and all sites had similar articles. Trust me that this is a HUGE red flag to dump everything you have because the owners of those publications and internet sites have a vested interest in you buying their overpriced shares. Today, just a few weeks later, it's at 630 dollars (a huge 70/share haircut, too bad for everyone that listened to that widespread news).
Facebook is another problem. Facebook's earnings/share is 29 cents! That's right! And even at the their sub 20 dollar pricetag, their P/E ratio is almost 70 times earnings! You think the potential of that turd is worth that premium? If you do, you are one delusional economical tour de crappe (or just young and gullible). And here's the crux: facebook will NEVER get membership dues. And the sheer amount of advertising it would take to justify it's share price would make the site unbearable with current technology. Even worse the stock is down almost 50% from its IPO price and insiders are jumping ship.
These are all flash-in-the-pan companies. Even mighty Microsoft has fallen from grace and in how short a time? Windows 95 marked Microsoft's big rise and that wasn't even 20 years ago! Contrast that with AT&T: the "T" in AT&T stand for telegraph!!! That's right. Telegraph!
Apple will go the same route as we all know these are hugely overpriced novelty items. You think might Apple would have cared a bit about Samsung and suing them if they were confident in the quality of their product's longevity? A lot of us are making money on companies like Facebook and Apple on the way down. My broker couldn't even let me borrow any more shares to short.
Oh and before you go thinking selling (even shorting your account) is evil, remember, you can't buy unless someone else sells and sure, of course the market would be better if the public just bought and nobody ever sold. How ridiculously obvious.