Facebook To Be Social Media’s Biggest Loser?
By Anna Johnson on May 18th, 2009A new report from ContentNext Media, Inc. claims that Facebook will be the biggest loser in the social media space.
Essentially, the ContentNext Media study indicates that while application developers will profit from the popularity of social media platforms such as Facebook, the social platforms themselves will struggle. This is because advertising revenues will never be commensurate with the amount of time people spend on the social networks.
ContentNext Media’s solution? It may be time the social networks started charging ‘rent’.
I’m not sure who is supposed to pay such rent – whether it’s users or application developers – but we need only look across at the Apple iPhone/iTunes App Store phenomenon to see a situation where both the platform owner and the application developers are doing very well.
