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Page last updated at 17:40 GMT, Tuesday, 4 January 2011

Why Facebook is 'worth $50bn'

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Facebook has reportedly raised funds from Goldman Sachs and a Russian investor in a deal valuing the social networking site at $50bn.

The New York Times said that Goldman was investing $450m in Facebook, and Digital Sky Technologies another $50m.

The paper, citing unnamed sources, said the terms of the deal implied a value for Facebook of just over $50bn.

Matt Frei talks to the New York Times' Peter Lattman.

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