Snap’s investor warning of slow growth ahead has sent shivers through the social media sector, the digital advertising industry, and Wall Street. Though the general messaging that supply chain issues coupled with the war in Ukraine is bad for business is not exactly news, Snap CEO Evan Spiegel’s message that “the macro environment has deteriorated further and faster than we anticipated when we issued our quarterly guidance last month” hit a nerve. Snap lost 43 percent of its market cap on Tuesday, with the social media sector showing signs of drag and analysts forecasting trouble ahead for ad-supported media. Continue reading Dire Snap Forecast Dampens Social Media, Digital Ad Sectors

WhatsApp is now offering commercial services to businesses that want the global messaging app, which now has more than a billion users. The WhatsApp Cloud API lets companies build their own WhatsApp dashboard to chat with customers. WhatsApp was purchased by Facebook, now Meta Platforms, in 2014 for a reported $22 billion, and this expansion is the company’s first serious attempt to monetize the platform. Speaking at a “Conversations” live event last week, Meta CEO Mark Zuckerberg said the new WhatsApp Cloud API was for businesses “big and small.” Continue reading Meta Launches WhatsApp Cloud API for Business, Enterprise

TikTok plans a gaming ramp-up and is adding a variety of improvements to enhance the platform and improve revenue. At present, gaming is extremely limited on TikTok, but the company is reportedly conducting tests in Vietnam preparatory to a big gaming push. TikTok is also introducing “Branded Mission” to connect creators with brands for possible remuneration. And, after years of controversy over attribution, TikTok is launching a button that lets creators add credits for their inspiration as part of the publishing process, tagging others upon whose work theirs is built. Continue reading TikTok Debuts Creator Crediting, Explores Adding Minigames

A 13-year bull run in technology startup investments has come to a halt, according to recent reports that describe a new climate of layoffs and skepticism that has resulted in valuations dropping and an exodus of funds. Rising interest rates, a palliative against 8 percent-plus inflation, have affected the investment outlook, making startups and private tech companies look overpriced. Even established public tech firms are affected, with Meta Platforms and Amazon dropping more than 30 percent this year, while Apple, Microsoft and Alphabet have logged 20 percent declines. Netflix has fallen by 69 percent. Continue reading Tech Sector Takes Hit as Startups and Stalwarts Feel the Pain

In the wake of criticism for its response time with regard to takedowns of videos of the mass shooting in Buffalo, New York, Meta Platforms has released metrics that show it removed 21.7 million pieces of violent or incitement content from Facebook in Q1 2022, nearly doubling the number from the previous quarter. The Buffalo gunman used a helmet-mounted camera to live-stream his killing spree to Twitch, owned by Amazon, and recordings circulated on platforms including Facebook, Twitter, Reddit and Google’s YouTube. Platforms were challenged by the speed of downloads and reposts even after the footage was removed. Continue reading Social Media Rapid Response Tested in the Wake of Violence

Senator Michael Bennet (D-Colorado) has introduced a new bill, the Digital Platform Commission Act, which proposes the establishment of a five-person commission to protect consumers in the Big Tech era. This, even as attorneys for groups representing Facebook and Twitter on Friday filed with the U.S. Supreme Court an emergency request to block Texas House Bill 20. The companies argue the law compels social platforms to disseminate propaganda and misinformation, including racist and pro-Nazi screeds. Calling HB 20 “an assault on the First Amendment,” the companies claim its implementation could undo billions in development. Continue reading Legislators Continue Their Scrutiny of Big Tech, Social Media

Facebook is ending its Nearby Friends feature and halting other location-tracking data collection. Location history, background location and Weather Alerts will be discontinued globally due to “low usage.” The change reflects consumers’ increased caution over personal data and movement tracking. The Meta Platforms unit says as of May 31 the features will stop collecting information, and by August 1 previously collected location history and background location data will be deleted. Users can log in to Facebook before August 1 to view or download their data. Continue reading Facebook Shutters Nearby Friends and Other Data Collection

In an effort to expand payment opportunities for creators of popular original video content, Meta Platforms is updating its Reels Play bonus program, adding Facebook Challenges and rolling out new insights for Reels Play creators. Successful Facebook Challenge videos will enable creators to earn “up to $4,000 in a given month,” according to Meta, which says it will “also explore the ability for eligible creators to earn a share of revenue on crossposted Reels via overlay ads” from videos that appear on both Facebook and Instagram. Continue reading Meta Adds Facebook Challenges and Expands Monetization

Meta Platforms’ stock price jumped 18 percent Wednesday on Q1 results that while not great were better than expected. Revenue was up 7 percent, to $27.9 billion, the most listless growth rate since Facebook’s May 2012 IPO. Reality Labs, the division driving the company’s metaverse ambitions, beat analysts’ expectations with revenue of $695 million, but the unit lost about $3 billion. Reality Labs is a large investment in a next-generation platform “comparable in value to the leading mobile platforms today,” Meta CEO Mark Zuckerberg said. Continue reading Lowered Expectations Drive Meta Stock Rise on Q1 Earnings

The European Parliament and EU member states reached agreement Saturday on the proposed Digital Services Act, which aims to hold Big Tech accountable for “illegal and harmful content” and “provide better protection for Internet users and their fundamental rights, as well as define a single set of rules in the internal market.” Calling the DSA “historic, both in terms of speed and of substance,” European Commission President Ursula von der Leyen added, “the greater the size, the greater the responsibilities of online platforms.” Companies like Facebook, YouTube, TikTok and others will be forced to hold the line against dangerous content and misinformation or face stiff fines. Continue reading EU Advances Digital Services Act to Hold Tech Accountable

Snap has grown daily users to 332 million, an 18 percent increase in Q1 according to an earnings report. The January through March period reflects a 38 percent year-over-year revenue increase, but also documents a net loss of $360 million. The deficit — attributed to digital advertising circumstances including Apple’s new privacy policies, the war in Ukraine and the effects of inflation — comes on the heels of Snap’s first-ever quarterly profit in Q4 2021. The Q1 results reflect “underlying momentum” against “a challenging operating environment,” said Snap CEO Evan Spiegel. Continue reading Snap Adds Users, Boosts Revenue, Posts $360 Million Loss

Video game companies are trying to change gaming’s image and perceptions regarding who plays as part of a plan to convince Madison Avenue that games are a serious advertising vehicle. Some 700 ad execs attended the first annual IAB PlayFronts, April 5 in New York, to hear pitches by Meta, Twitch, Activision Blizzard, Unity, Riot and more. Meanwhile, companies including Comcast’s NBCUniversal and HTC are working on technology to put advertising into cloud-based and streaming video games. Elefund and DIP Capital are among those investing in insertion technology that puts brands directly into the gameplay. Continue reading Video Games Are Becoming a Hot New Advertising Platform

WhatsApp is adding tools so groups of users can come together en masse for private conversations. Called Communities, the feature will enable separate groups to unite under one conversational umbrella supervised by an administrator. Community members will be able to receive updates sent to the entire Community and easily organize smaller discussion groups on topics of specific interest. Rolling out in the coming weeks, Communities will contain powerful admin capabilities, including announcement messages sent to everyone as well as filtering controls that target subgroups. Communities will have the end-to-end encryption of all private WhatsApp conversations.  Continue reading WhatsApp to Introduce Admin-Controlled Community Chats

After a year of experimentation, Facebook appears to be cooling on podcasting. Last April, the company launched podcasts for U.S. users in addition to Live Audio Rooms and the Soundbites short story feature. Now, Facebook seems to have shifted its priorities to online shopping and the metaverse, according to reports. The news has come as a disappointment to some in the podcasting industry, who valued the exposure and potential advertising revenue that came along with Facebook integration. During its brief focus, Facebook’s podcasting efforts were lauded by some content providers. Continue reading Some Disappointed by Facebook’s Waning Podcast Interest

Meta Platforms’ future plans are coming into focus through leaks and the company’s admission that it plans to take a fee of up to 47.5 percent on digital asset sales transacted through the Meta Quest Store in the “Horizon Worlds” game. By 2024, the company reportedly plans to deliver its first generation high-end wireless AR glasses, developed as Project Nazare, along with a cheaper pair codenamed Hypernova. Meta aims to bundle both models with a wrist-worn controller that “hypothetically” issues instructions direct from the wearer’s mind, leveraging technology the company acquired with the 2019 purchase of CTRL-labs. Continue reading Meta Pushes Forward with Its Plans for High-End AR Glasses