Facebook and Google’s ad businesses appeared to be unstoppable, tripling over the last five years and accounting for more than half of online advertising expenditure. That long run appears to be over with the coronavirus pandemic and its impact on the global economy. Wall Street is now projecting that annual revenues for the two companies will decline for the first time in their histories, due in part to record low prices for advertising. Even so, prospects are even more dire for the overall digital advertising industry. Continue reading In Grim Ad Market, Even Facebook and Google See Declines

One conspiracy theory making the rounds on the Internet connects the coronavirus outbreak to 5G technology. Although actors Woody Harrelson and John Cusack are among those endorsing the misinformation, researchers indicate the majority of online activity around this theory is coordinated and possibly state sponsored. That’s the conclusion of Marc Owen Jones, a researcher at Qatar’s Hamad bin Khalifa University, who analyzed 22,000 Twitter interactions and found a large number displaying “inauthentic activity.” Continue reading Social Media Campaign Aims to Link Coronavirus to 5G Tech

As movie theaters remain shuttered during the coronavirus pandemic, some studios are coming up with new and creative ways to enjoy the virtual cinema experience. Twitter is now offering an unofficial, informal screening series of Twitter Watch Parties that evoke the same exciting atmosphere of previous Live Watch tweeting events that grew organically out of “Game of Thrones” or “RuPaul’s Drag Race.” Film-reviewing app and social network Letterboxd did a Watch Party with “Portrait of a Lady on Fire,” and pop culture platform Nerdist gathered users for a “watchalong” of the 1985 comedy “Clue.” Continue reading Studios, Filmmakers Create Virtual Movie Events via Twitter

As use of Zoom Video Communications’ conferencing services have soared, the company’s chief executive Eric Yuan has had issues scaling up the popular app. The nine-year-old tool, once a favorite in the business world, is now ubiquitous among a wide swathe of consumers, educators and others. Issues with privacy and hacking have arisen, and Yuan admitted he “messed up” on security, especially with the claim — proven false — that Zoom offered end-to-end encryption. Yuan said the full encryption feature will be available in a few months. Meanwhile, some users are switching to other platforms. Continue reading ‘Zoombombing’ on the Rise, Zoom Works to Improve Security

Although news media have seen a rise in digital subscriptions during the coronavirus, advertising has plummeted. Facebook has stepped in with the announcement it will provide $25 million in grants to local news outlets, as well as spend $75 million in marketing. Examples of outlets hard hit include BuzzFeed and American Media, which are cutting employees’ salaries, and alt-weeklies that have laid off as much as 75 percent of their employees. Facebook fact-checkers, meanwhile, are fighting coronavirus misinformation. Continue reading Facebook Gives $100 Million in Local News Grants, Marketing

With the advent of the coronavirus, companies such as Facebook, Twitter and Google quickly responded, featuring links to “high-quality information” from the Centers for Disease Control and Prevention (CDC) and World Health Organization (WHO). Big Tech has now donated thousands of N95 masks to healthcare providers and continues to highlight accurate news. Facebook committed $100 million in small business grants and Amazon put out the call for 100,000 new employees. Overall, Big Tech isn’t just doing good but doing well, with business holding steady. Continue reading Big Tech Responds to Coronavirus, Improving Its Public Image

Despite growing usage of social media platforms during the coronavirus pandemic, the platforms’ ad businesses are plummeting. Twitter, for example, saw its daily usage skyrocket 23 percent this year, but its revenue may have dropped as much as 20 percent in March. As businesses have slowed down or shuttered, marketers are decreasing or even stopping advertising, which is the core support of media companies. In difficult economic times, advertising spending on the media sector is often the first to be cut. Continue reading Advertising Sales Plummet Even as Social Media Usage Soars

With the absence of live sports on TV during restrictions due to the coronavirus, FOX Sports and NASCAR together came up with the idea of virtual races. On March 22, the first ever eNASCAR iRacing Pro Invitational Series race was a huge hit, drawing 903,000 viewers on FS1, making it the highest-rated eSports TV program to date as well as the most-watched broadcast on FS1 since the cancelation of live sports events and broadcasting. As a result, FOX Sports plans to simulcast the remainder of the NASCAR iRacing series on FOX, FS1 and the FOX Sports app. Continue reading With NASCAR, Formula One, Racing Becomes Virtual eSport

With millions of Americans stuck at home, Facebook’s usage — especially messaging and video calls — has skyrocketed, and driven traffic to purveyors of coronavirus news. So much so that, as of a week ago, more than 50 percent of the articles being read on Facebook in the U.S. were coronavirus-related, and U.S. traffic from Facebook to other sites also soared 50+ percent due “almost entirely” to the coronavirus. But the social media companies aren’t spared the economic impact of the virus: a decrease in marketing dollars. Continue reading Coronavirus Transforms Facebook into Major News Hub Again

Twitter and activist investor Elliott Management have come to an agreement to keep chief executive Jack Dorsey in his position, at least for now. Elliott Management, a $40 billion hedge fund that has a 4 percent stake in Twitter, sought to oust Dorsey from his position, claiming that, by splitting his attention between Twitter and Square, the chief executive let the former company lose its competitive edge and slip behind rivals. On February 21, Elliott nominated four candidates for Twitter’s board to add to the pressure. Continue reading Twitter Settles with Activist Investor, Dorsey Keeps Position

Hollywood, digital media and technology are among the growing number of industries being impacted by the coronavirus. As the virus continues to spread globally, a range of business sectors are feeling the effects, including media production, movie theaters, theme parks, touring performers, music acts and consumer electronics. In addition, major tech conferences such as Google I/O, Facebook’s F8, Adobe Summit and Mobile World Congress in Barcelona have been canceled, representing about $500 million so far in lost revenue for airlines, hotels, restaurants, and related businesses. China’s film industry has lost close to an estimated $2 billion in box office grosses since its theaters closed earlier this year. Continue reading Tech and Media Industries Feeling Impact of the Coronavirus

The United Kingdom proposed that its media regulator Ofcom take on the responsibility of regulating Internet content, in part to encourage Facebook, YouTube and other Internet behemoths to police their own platforms. Ofcom would be able to issue penalties against companies lax in fighting “harmful and illegal terrorist and child abuse content.” Many details have yet to be filled in. Meanwhile, Reuters has formed a new Fact Check business unit, which is poised to become a third-party partner aimed at ferreting out misinformation on Facebook. Continue reading UK Proposes Internet Laws, Reuters to Fact-Check Facebook

Twitter revealed that, in Q4, revenue rose 11 percent to $1.01 billion, the first time that quarterly revenue topped the billion-dollar mark, and surpassing the $992 million projected by Wall Street analysts. The company stated that income was $118.8 million, with costs rising 22 percent from a year earlier. Its operating income, a closely watched number, was $153 million, down from $207 million the previous year and lower than the $161 million predicted by analysts surveyed by FactSet. Shares rose about 15 percent. Continue reading Shares Rise as Twitter’s Revenue Passes $1B for First Time

In another win for the FCC, the U.S. Court of Appeals for the District of Columbia announced yesterday that it would not reconsider the October ruling that upheld the repeal of net neutrality rules. Requests had been made by 15 states and a collection of technology and advocacy groups to reconsider the earlier ruling. The net neutrality laws were first issued in 2015 to discourage Internet service providers from practices such as blocking or throttling traffic and enabling so-called “fast lanes” through paid prioritization. In December 2017, the FCC voted to repeal the Obama-era net neutrality laws that were largely supported by tech companies and consumer groups.  Continue reading Appeals Court Will Not Rule On the Repeal of Net Neutrality

Twitter announced yesterday that it would be more assertive in identifying fake and manipulated content on its platform. Beginning next month, the company plans to add labels or remove tweets that feature such manipulated images and video content. While short of an outright ban, the new policy is meant to address the growing concern of users frustrated by the practice of disinformation spread via social platforms. However, it also highlights the challenges faced by social media companies in regards to balancing freedom of speech, parody and satire, and false or manipulated content. On Monday, YouTube announced its plans to better manage misleading political content on its site. Continue reading New Twitter Policy Aims to Combat Fake Photos and Video