Causes Founder's $400M Facebook 'Mistake'

Joe Green is most likely the Facebook roommate you've never heard of, but the Harvard graduate is trying to make a difference in the world, with friends.

Green lacks the name recognition of company co-creator Mark Zuckerberg , or even Eduardo Saverin, who famously helped launch Facebook, although he was there with the Internet entrepreneurs in that dorm where the social media powerhouse was born. And he walked away from it.

Green was one of Zuckerberg's roommates at Harvard University in 2004, and was asked by the young man, who is now worth an estimated $17.5 billion, to drop out of the Ivy League school to join him in building the social media website, which is expected to file for an initial public offering this week.

After the two had gotten into some hot water with Harvard for a previous project -- the "hot-or-not" website Facemash, the building of which was dramatized in Oscar-winning film "The Social Network " -- Green ultimately told Zuckerberg "no" because the school had threatened him with expulsion.

His decision not to join Zuckerberg could now be considered a $400 million mistake.

"We'd gotten into a little bit trouble with the previous project ... and my father, who's a professor, was not too happy with the prospect of me getting kicked out of school," Green told ABC News. "Zuckerberg likes to make fun of my dad for this, but we're still very close."

Rather than following Zuckerberg and his team to Silicon Valley, Green followed his passion for politics and worked for John Kerry's failed 2004 presidential campaign.

Now, despite his initial decision, he's back in the Facebook fold, running a for-profit business called Causes, a Facebook application and website that lets friends suggest to friends a charity, social cause and even political candidate. The stated goal of Causes is "to empower anyone with a good idea or passion for change to impact the world."

"The way to get people civically engaged, not just during the election but throughout the year, is to tap into Facebook and let them do it with their friends," Green says.

In increasing numbers, political candidates and campaigns are turning to social media to win elections. As President Obama proved in 2008, social media has become a powerful political tool that can mobilize voters.

"You can't ignore it," Green says. "It's like ignoring television or ignoring, you know, mail. It's become such an integral part of people's lives."

Green says his company has helped raise $50 million for 50,000 charities, while Causes' Facebook page boasts 6.5 million active monthly users.

The New York Times reported in December that Causes received $9 million in venture capital financing, bringing its total financing to $16 million.

Green, the roommate who said "no" to what became a Web behemoth, has no regrets, although he does have plenty of Facebook stock, and he's found his own cause.

"Everyone has the ability inside of them to make a difference," Green said.

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  • Amused Observer  •  2 months ago
    Wow, geez, am I the only commenter here that actually likes Facebook? I live in Japan because I'm in the military, that site is one of the only ones that I'm on regularly that lets me communicate with my friends and family quickly.
  • robert  •  3 months ago
    Do millionaires sit around wishing they were billionaires?
    • yes Minister 3 months ago
      enough is never enough for some.
    • 911 3 months ago
      hell NO they work at it
    • Susan M 3 months ago
      Yes they do.
  • T-800  •  3 months ago
    Tried finding Sarah Connor on facebook. Big mistake. Took me forever.
    • mike 3 months ago
      will you be back?
    • Rickey 3 months ago
      He never left my heart.
    • skater 3 months ago
      For better information, "talk to the hand"!
  • LiFe  •  Moscow, Russia  •  3 months ago
    Facebook is dying due to its features of which the majority of fb users don't like and many are quitting Facebook.
    • chris o 3 months ago
      thats why hes doing an IPO maximize now before its yesterdays news
    • Sean 3 months ago
      I guess because you know some people who quit it must be fact? How about some REAL numbers.A new user is added to Facebook at a rate of once every seven seconds, or 600k PER DAY. That is NET growth as of December 2011. That means after those that quit leave, more people are coming behind them.Comscore, which ranks unique visits continues to show growth, and is the number 4 web site visited of ALL the web sites out there.The problem with people like you, is you think your world is the universe. You do not investigate and look for FACTS. You spout off #$%$ about what you see with your friends. There are also those that say FB is dying because it is not growing as fast as it once did. That is virtually impossible when you have the second largest % of internet users accessing your site (behind only Google).
    • eastwood09 3 months ago
      I wouldnt say facebook is dying.. but i would say user engagement in facebook is down. I can certainly see that.
  • No One  •  3 months ago
    Can you say Yahoo bubble?

    Remember when Yahoo was over $250 per share and people thought it was going to go even higher, then it lost 80% of its value in within weeks, NEVER TO RETURN?

    Facebonk is next......
    • Handsome 3 months ago
      and then remember when Microsoft offered $33 a share, yahoo turned it down and now are barely at $15?
    • ARCHER 3 months ago
      I have an idea that will put facebook out of business and Yahoo could cash in on it. But they don't have a number where I can reach them.
    • so~nice 3 months ago
      yup what goes up must come down
  • Manny  •  3 months ago
    Walk away from the computer. Play with the dog. Run around with the kids. $400 mil can't buy that.
    • Mark 3 months ago
      Dogs are outdated and kids like Facebook. This is sarcasim!
    • Jeff 3 months ago
      I think Ill have to disagree with this comment. If I had 400 million, I could still play with the dog and run around with the kids, plus Id have 400 million.
    • Kevin 3 months ago
      400 mil can buy u a lot of dogs and kids ....stupid fool
  • Rogues_Ranger  •  Cincinnati, Ohio  •  3 months ago
    Breaker 1-9 Breaker 1-9. I do not need to be that connected.
  • Will  •  3 months ago
    Once you reach a "price point" in life where you don't have to worry about money to fund your basic essentials and you have a Dad who gets you into Harvard and has the network to get you on John Kerry's campaign, 400M doesn't appear like quite the mistake it would to the normal poor person. It's simply the difference between having to drive the regular old Mercedes compared to custom made Ferarri's. None of them are wanton for a meal or worry about how they are going to make their next house payment.
  • Jason  •  Yonkers, New York  •  3 months ago
    The article ends by saying he has plenty of facebook stock, which negates the point of his losing out on big bucks. Way to tell another phony story yahoo!
  • Joe  •  3 months ago
    Is it just me or there is a feeling that Facebook is just a fad and will not have a happy ending!
  • Mr.Potato Head  •  Pasadena, California  •  3 months ago
    I just invented something new.. its called CatBook.. where people can post pictures of their cats.. I hope it will make me millions.. i can use a few mansions..
  • The Undeniable Truth  •  3 months ago
    The simple fact of the matter is that for every Facebook or Microsoft company formed by college dropouts, there are hundreds of thousands of busts.
  • Diatribe  •  3 months ago
    well ... come on now, Facebook isn't all that bad. I get to see my friends rip on each other in 'text'. ... i never see my friends ....
  • FX  •  Fort Worth, Texas  •  3 months ago
    So what? So, the guy had no idea that a website with worthless everyday #$%$ from people would be worth so much? Who could have guessed??
  • DC  •  3 months ago
    a fool and his money will soon be parted
  • david  •  Berkeley, California  •  3 months ago
    Zuckerberg probably would have ripped him off anyway! Just like he rips off Facebook users privacy.
  • XYM  •  3 months ago
    Facebook can byte me.
  • CYNICAL  •  3 months ago
    It appears the sooner you drop out of Harvard, the more money you make. Matt Damon is rich. Bill Gates is richer. :)
  • Angel  •  Miami, Florida  •  3 months ago
    LAMEBOOK!
  • Whamo  •  3 months ago
    People with high I.Q.'s frequently act very stupid.