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A well-known power struggle that took place between Mark Zuckerberg and Eduardo Saverin was a depiction of true business spirit. Facebook has been the revolutionary social site through which almost all the people of the world are connected. It would be surprising to see how the founders of Facebook went into a power struggle for acquiring the highest power and authority. Being a poor student, he did not have much money to acquire technology infrastructure so that he could take this social site from ground level to a more reliable platform. He took financial help from one of his wealthier friend, Eduardo Saverin. Eduardo liked this business idea and made an investment of about $15,000-$20,000 that Zuckerberg needed for servers, and this is how Eduardo became the co-founder of Facebook (Alef,et al.,2010). When this business flourished, Eduardo start focusing more in towards financial and Zuckerberg remained focused on the product and they two were living in two different sides of America, they both experienced an epic founder fall-out.
But it was seen that Saverin wanted to freeze the accounts of Facebook and his share in this company was diluted and this upshot caused the ejection of Saverin from the company with around more less than 0.03 percent that was upon his name. In this war of power struggle, Saverin by taking help of his family somehow managed to sue this company under the blame of breach of fiduciary duty and after winning the case, he reacquired about four to five percent share as a whole percentage that Saverin acquired worth billions. This dispute initially affected the business of Facebook, but soon after the settlement, it was back on the right track. This matter remained in the limelight for a short interval of time, about two years but as it is well said that all well that ends well, it could be seen that in this power struggle both the parties got what they ultimately wanted to achieve. Mark was more involved in "making something cool” but Saverin was more indulging in making more money. Mark’s passion was not money rather he wanted to make unique changes in Facebook, and this is the main reason why he remained more focused about his product than his idea of earning more from this business.
When they had legal proceedings on this matter, Mark in one of his mail wrote of Saverin "Is there a way to do this without making it painfully apparent to him that he's being diluted to 10%?”. Saverin got money that he wanted and Zuckerberg got his innovative business. It could be concluded that both parties win in their point of view as both got what they struggled to get. In one of his interviews, he said, "I have only good things to say about Mark, there are no hard feelings between us" after giving him his share Mark booted him out of Facebook continued his experimental struggle on. In this power struggle, it could be seen that one who was having the central idea is still stuck with the innovative ideas as Facebook has become one of the most widely used social site (Wroldsen, et,al,2012). Power struggle of both the parties gave them something as a result of their effort, but it is appreciable that passion of Mark pushed him to the place where his company "Facebook" has reached today, and it could be concluded that power struggle was from the side of Mark and he has got what he wanted to achieve. His business is growing more and more. The amount he is making now from this social site is much more than what he used to make when Saverin was the co-founder of Facebook.
Wroldsen, John S. "The social network and the Crowdfund Act: Zuckerberg, Saverin, and venture capitalists' dilution of the crowd." Vand. J. Ent. & Tech. L. 15 (2012): 583.
Alef, Daniel. Mark Zuckerberg: The face behind Facebook and social networking. Titans of Fortune Publishing, 2010.
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