Facebook E-Mail: The Next Revolution?

For an announcement as simple as the one Facebook is expected to make today, it's hard to believe that someone didn't think of it sooner. If the reports prove to be true, e-mail will be coming to the social network giant, bringing a new competitor to Yahoo! (NASDAQ: YHOO) mail, Google's (NASDAQ: GOOG) Gmail, and Microsoft's (NASDAQ: MSFT) Hotmail.

Assuming that the Facebook e-mail client is little more than a fancy alternative to other free services available, the company will still have the advantage of being able to provide its users with everything they want in one convenient place. After all, if Bob can check his e-mail while simultaneously updating his status, why wouldn't he? And if he can do that, would he bother to use other e-mail clients?

It's important to note that this scenario assumes that Facebook e-mail will not go above and beyond the everyday features of its competitors. If it does, Facebook could have a serious chance at thwarting its competitors.

As it stands, the installed user base of more than 500 million Facebook users should give the social network an instant foothold in the e-mail market. Even if only a fraction of those users begin to use Facebook e-mail, the company could still make millions off the presumed ads and/or sponsorships that will be displayed on every page – and in every e-mail.

The one thing that works in the other guys' favor is that Gmail, Yahoo! and Hotmail are regularly used in professional correspondents. Given the lighthearted nature of Facebook – which encourages users to share their every moment in life, no matter how trivial – it is highly unlikely that consumers will abandon their existing business accounts in favor of a shiny new e-mail address with a social network. But going forward, it's a whole other ballgame.