Mark Zuckerberg and Eduardo saverin

Facebook is an online social networking service, whose term stems from the informal name for the book given to scholars at the start of the educational year by some university managements in the United States to assist students get to know each other. It was originated in February 2004 by Mark Zuckerberg with his college colleagues and fellow Harvard University students, Andrew McCollum, Eduardo Saverin, Dustin Moskovitz & Chris Hughes. The website's membership was originally limited by the creators to Harvard students, but was extended to other colleges in the Boston area, the Ivy Association, and Stanford University. It slowly added support for students at numerous other universities before opening to high school scholars, and eventually to anybody aged 13 and over. Facebook now allows every user who declares them to be at least 13 years old to become listed users of the site.

Mark Zuckerberg, born May 14, 1984, was a Harvard scholar when he started the Facebook social networking website. An initial fan of computers who had industrialized a "smart" mp3 player in high school, Zuckerberg had before been reprimanded by the Harvard management for his Facemash site, a Harvard-specific picture rating site that operated like HotOrNot.com but used photos taken from Harvard's online facebook, without the subjects' agreement. (A facebook, lower-case, is a collection of student photos designed to introduce students to each other.)

In February of 2004, he started "The Facebook," which took the aims of those lower-case traditional facebooks and join them with the social networking of Myspace-like sites. Unlike Facemash, The Facebook was opting in any Harvard student could make an account, and by the end of the month, further than half of the undergraduates had done so. Zuckerberg extended the service quickly, offering it to all Ivy League schools by the end of the spring and more schools the next semester. The Wirehog site was made as a companion file sharing site for Facebook users, & by the end of 2004, The Facebook had over one million listed users.

Till 2009 Saverin wasn't even recognized as a co-founder. It took a claim and a settlement to make that happen.

Both side’s argument the details of the case, but here are the essentials. In 2003, Zuckerberg (then a sophomore at Harvard) loomed Saverin (a junior) about TheFacebook.com. He asked Saverin to become his commercial partner and to put down $15,000 for the servers wanted to run the site. In return, he'd get about 30% of the corporation.

When Facebook took off in 2004, Zuckerberg and additional co-founder, Dustin Moskovitz, decided that they had to transfer to Silicon Valley. They got a location in Palo Alto & started coding. Saverin had a job with Lehman Brothers in NY. According to Business Insider, Zuckerberg asked Saverin to take care of the official procedure, to get funding and to figure out a method to make money.

But Saverin was slow to make choices and slow to sign off on the official procedure. Finally, his role was taken by businessperson Sean Parker, who quickly secured a $500,000 asset by PayPal co-founder Peter Thiel. Zuckerberg was capable to reduce Saverin's stake in the corporation from 30% to less than 10% in short order. His equity was weak from that point onward.