{"id":17754,"date":"2012-11-14T10:13:27","date_gmt":"2012-11-14T15:13:27","guid":{"rendered":"http:\/\/quotulatiousness.ca\/blog\/?p=17754"},"modified":"2012-11-14T10:13:27","modified_gmt":"2012-11-14T15:13:27","slug":"enter-the-real-facebook-business-model","status":"publish","type":"post","link":"https:\/\/quotulatiousness.ca\/blog\/2012\/11\/14\/enter-the-real-facebook-business-model\/","title":{"rendered":"Enter the <em>real<\/em> Facebook business model"},"content":{"rendered":"<p>Facebook is changing, and lots of folks have ideas about what it is changing into. Here&#8217;s <a href=\"http:\/\/daltoncaldwell.com\/understanding-likegate\" target=\"_blank\">Dalton Caldwell<\/a>&#8216;s interpretation of the new business model:<\/p>\n<blockquote><p>Several prominent people are up in arms about Facebook charging for access to users who have already Liked their page.<\/p>\n<p>I believe this debate is missing the big picture, and what we are in fact witnessing is the unfurling of the full-fledged Facebook business model. Facebook is showing us how they will cross the chasm from low-CTR low-CPM ad-units into what investors have been waiting for since the beginning: a Facebook analogue to Google Adwords.<\/p>\n<p>[. . .]<\/p>\n<p>From a Facebook user perspective, we don\u2019t really know how the algorithm works, and are already trained to understand that some things magically show up our newsfeed and some things don\u2019t. If a normal user sees that one of their friends bought a LivingSocial deal at the top of their feed, they may\/may not click on it, but they certainly won\u2019t question how it got there.<\/p>\n<p>Facebook newsfeed is an embodiment of our war on noise. We depend on the newsfeed optimizer to protect our limited attention span, and as a consequence, Facebook gets to choose what stories we do and don\u2019t see, just as Google chooses which search results we do and don\u2019t see. Conceptually, this seems very lucrative: Facebook is auctioning off our limited attention span to the highest bidder, <strong>as long as<\/strong> the bidder has a candidate newsstory to promote.<\/p>\n<p>This is what Like-gate is about.<\/p>\n<p>Welcome to the <a href=\"https:\/\/en.wikipedia.org\/wiki\/Attention_economy\" target=\"_blank\">attention economy<\/a>.<\/p><\/blockquote>\n<p>H\/T to <a href=\"https:\/\/twitter.com\/timoreilly\/statuses\/268675831105220609\" target=\"_blank\">Tim O&#8217;Reilly<\/a> for the link.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Facebook is changing, and lots of folks have ideas about what it is changing into. Here&#8217;s Dalton Caldwell&#8216;s interpretation of the new business model: Several prominent people are up in arms about Facebook charging for access to users who have already Liked their page. I believe this debate is missing the big picture, and what [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[831,15],"tags":[97,391,593],"class_list":["post-17754","post","type-post","status-publish","format-standard","hentry","category-business","category-technology","tag-advertising","tag-facebook","tag-socialmedia"],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p2hpV6-4Cm","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/posts\/17754","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/comments?post=17754"}],"version-history":[{"count":2,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/posts\/17754\/revisions"}],"predecessor-version":[{"id":17756,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/posts\/17754\/revisions\/17756"}],"wp:attachment":[{"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/media?parent=17754"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/categories?post=17754"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/tags?post=17754"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}