Facebook, LinkedIn threaten to slay Monster.com


A Monster Worldwide isn't looking so monstrous lately. Shares of the parent of online job board Monster.com are down nearly 70 per cent this year, with most of that loss coming since early July. A company that once boasted a multibillion-dollar market valuation is now worth less than $1 billion. 

Worries over slowing US and European economies have dragged down employment-related shares in recent weeks, but Monster has fallen harder than peers because it faces a second threat besides a possible double-dip recession: increased competition from social media. 

Monster serves as an illustration of how rapidly sites like LinkedIn and Facebook are creating wrenching changes for companies in the recruitment business. 

LinkedIn's Hiring Solutions business, roughly half of its sales, is forecast to reach $384 million in revenue next year from 2011's estimated $243 million, according to JPMorgan.

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