The money quote:
I “guesstimate” that MySpace and Facebook have annual revenue run-rates
of approximately $650mm and $450mm respectively - highly reputable
numbers. The perceived problem relates directly to
revenue per user or page view, as these are two of the most heavily
trafficked sites on the Internet. As a comparison, other companies with similar usage, like Yahoo, are doing $7.2B in annual revenues.
The whole article is about how seeling virtual goods like tshirts, etc. for your Avatars is a real moneymaker because it works in China, Japan, and Second Life.