Facebook Business Plan

) (AABA), which had access to the content published by a user's friends; Amazon (AMZN), which had access to the names and contact information of a users' friends; and Microsoft (MSFT), whose Bing search engine had access to the names on virtually every Facebook user's friends list.

The exchanges took place as recently as last summer, which contradicts prior statements made by Facebook that the company had stopped selling access to user data years ago.

But in March 2018, the now infamous Cambridge Analytica scandal revealed that Facebook had been making money from user data far more directly than imagined.

On March 17, 2018, the Guardian and The New York Times reported that the data of approximately 87 million Facebook users had been exposed to hackers.

The company is preparing for the future by broadening its revenue canvas.

Facebook Business Plan

It has emphasized videos and live broadcasts from its Facebook Live platform in its earnings calls in recent quarters.According to the company, the daily watch time for Facebook Live broadcasts has grown by more than four times in the past year.The social media giant has also inked deals with content creators to further promote video.Advertisers can further slice and dice the buckets based on their branding goals.They can serve up custom ads to Facebook users from specific income groups or regions, and target users based on other categories, such as sexual orientation, religion or political affiliation.The data breach is expected to have far-reaching consequences on Facebook’s revenues and the cost of doing business.Regulation and user concerns will likely drive up Facebook's costs of capital.Facebook made more than billion in revenue in 2017, approximately 89 percent of which came from digital advertisements.The company announced second-quarter earnings on July 25, 2018, reporting .2 billion in revenue. (GOOG), Facebook has emerged as one-half of a dominant duo in the digital advertising game. In a series of scandals dating back to March 2018, Facebook has compromised user data, privacy, and security by granting multinational companies access to the personal information of its users.Revenues from Facebook’s two largest markets – North America and Europe - are expected to be affected as a result of the fallout from the Cambridge Analytica scandal. In 2017, Facebook earned an average of .41 from each North American user and .26 from each user in Europe. But the scandal is expected to have an adverse impact on Facebook’s revenue in its two biggest markets in two ways.First, advertiser concerns might lead them to pull out ads from Facebook’s plan and result in an overall decline in revenue per user.


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