Facebook announced Friday its first acquisition, but didn't give details. The social-network-turned-"social operating system" said it bought Parakey Inc., a company that develops software that ties information from a user's computer to the Web. Parakey was created by the Firefox browser creators, Blake Ross and Joe Hewitt, who will stick with Facebook for the time being.

That's a smart move. It's looking like Facebook is the place to be for entrepreneurs who are eager to cash in on the next big thing. Most industry watchers believe Facebook is gearing up for an initial public offering, rather than a sale to a larger player. Check back later Friday at TheDeal.com for an interview with Facebook director Peter Thiel, who says the company won't be sold because buyers and the seller can't agree on a price. Maybe the public market will get a chance to voice its opinion. — Stacey Higginbotham

See Facebook press release

Tags: Facebook, Parakey, social networking sites