FacePalm Is About To Destroy Its Business
The Market Ticker ® - Commentary on The Capital Markets
Posted 2013-02-17 22:04
by Karl Denninger
in Company Specific
Ignore this thread
FacePalm Is About To Destroy Its Business
 

Ok, I'm convinced.

This company is a short to zero.

Why?

TV commercials that automatically play could soon hit Facebook’s news feed. This week Facebook VP of Business David Fischer admitted auto-play video ads might be distracting, but said “I believe there are ways we could do it.” Fischer said during his Stanford Future Of Media Conference keynote that he admired YouTube’s video ads. But auto-play video spots could be flashy and annoying in the quiet news feed.

We put up with them on Youtube but when you go to Youtube you're looking for video content in the first place. And even so, their "quick skip" feature that Youtube permits on some, but not all of their ads, does in fact get me to close a material percentage of the videos before I watch them anyway.

It's even worse on so-called "mainstream" media sites where these sorts of video advertisements in front of desired content are almost-certain to draw either an immediate close (meaning I abandon watching at all) or I'll mute or hide the window, killing the ability to sell me whatever.

The distraction and intrusive nature of these things is bad enough. 

But it gets much worse.

Video takes up a lot of bandwidth.  And if Facebook starts running these things over their mobile feeds they're going to begin to consume material parts of people's data budgets for which they pay

It's bad enough to have advertising shoved in your face -- it's quite a bit worse when it is effectively a collect call that you cannot refuse to pay for.

That this is being actively considered tells me that the company is facing desperation-level trouble with revenue. 

If they implement it I expect that in the fullness of time it will destroy their business.

Oh, and if you're a blogger or other site on the Internet and think you're getting links back to your pages?  Better check your statistics, because they probably look like mine:

So you think "Facebook" helps drive customers to your site eh?  smiley

Disclosure: No position, but I may have to initiate one.  Guess which way?

Discussion below (registration required to post)
 

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User Info FacePalm Is About To Destroy Its Business in forum [Market-Ticker]
Jack_crabb
Posts: 2425
Incept: 2010-06-25
Gold
Peoples' Republik of Maryland
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The sooner Zueckerberg goes away with this intrusive piece of **** company the better.

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Molon Labe

Where is Henry Bowman when you need him?
Rvacha
Posts: 8295
Incept: 2008-10-03
Gold
Cleveland
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No worries! At least they can rely on Uncle Sam to keep sending those tax refund checks

http://ctj.org/ctjreports/2013/02/facebo....

I can't wait to see Face**** buried

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"I suggest you panic." - Hugh Hendry
Nuke_engineer
Posts: 2698
Incept: 2007-08-19
Green
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I hadn't been on my FaceBook account in a while but I was horrified to see a FB suggestion that some friend of mine had entered her personal and business e-mail passwords and let a FB application "find more new friends" for her. I quickly called her and found out that the whole thing was bogus, even though FB has provided the application my personal email ID that was in the account profile.

These guys are dangerous. You must watch them all the time and people don't even have a clue of what they are capable of trying to do in exchange for revenue. What's next from these crooks?

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Trading and investing is understanding about people, emotions and corruption of government, corporations, banks and people using propaganda, lies, mathematics and bankster logic working against you.
Genesis
Posts: 130747
Incept: 2007-06-26
Admin A True American Patriot!
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Whatever they can get away with, apparently.

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I don't care if it makes sense -- only if it makes money. -- Me
Bank (n): See scam, fraud and theft. Eat a bankster -- they're low-carb.
What part of "shall not be infringed" was unclear?
Moconserv
Posts: 5
Incept: 2013-02-13

Central Missouri
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Not to worry... FB will be deemed too big to fail & qualify for a govt. bailout. Obama knows you can't have a successful campaign without social networking. Probably explains the "no taxes owed" situation.

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It's never too early to start drinking... but sometimes it is too late to stop.
Genesis
Posts: 130747
Incept: 2007-06-26
Admin A True American Patriot!
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Yeah, they do a lot of good for your web traffic too..... NOT!

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I don't care if it makes sense -- only if it makes money. -- Me
Bank (n): See scam, fraud and theft. Eat a bankster -- they're low-carb.
What part of "shall not be infringed" was unclear?
Mortgageguymn
Posts: 1566
Incept: 2009-03-09
Green
North Coast
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Facebook may soon overtake MySpace. Twitter is hot on Facebook's trail, though, as the best place to post pictures of weed, "molly" and Purple Drank.
Krs
Posts: 686
Incept: 2009-05-07
Silver
Colleyville, Texas
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Ad content is popping up as of today on my account, in my news feed as of today, what the f! This thing is so from from its original intent, competitive options coming soon, as a public company they are doomed, only the corporate asshats will use it until its dead. Prediction - under $5 by July 1, 2014.

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Fog, smoke, and mirrors... perhaps those tin-foil-hat wearing digital dickweeds were on to something?
Tyler Durden on the Fed – Feb 28, 2013
Reluctantdebtor
Posts: 131
Incept: 2010-03-05

ohio
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I see essentially NO ads at all on the web because I run ad blockers, script blockers, some greasemonkey scripts, Facebook tracking/button blockers, and Social Fixer is running in the Facebook-dedicated browser. The videos won't be a problem here. I guess they WILL be a pain for mobile users.

My family has begun to prefer Facebook to email for keeping in touch, and I have to admit it has made that information more comprehensively and easily available. I know more about nieces/nephews and family events than I did pre-Facebook, with pictures, instantly. But damned if I want to see ads or pay for the service in any way. I'd rather go back to email, which I quite liked. Facebook reverts things to almost synchronous communication, which is a bit too direct and immediate. I like bulletin-board-style asynchronicity.
Imustbenutz
Posts: 283
Incept: 2010-11-04
Green
Absurdistan, USSA
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FB will offer ad free for a monthly fee...
Burya_rubenstein
Posts: 945
Incept: 2007-08-08


Online
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So what happens if my phone doesn't have the Java API code necessary to play their videos? Currently I can watch some videos on my phone, but not all, and even some Youtube stuff doesn't have a mobile version.

Oh yes, even if the video does play, there's no guarantee it will run to completion even if I want it to. I live near an airport, and quite often the signal gets jammed by aircraft radar.
Duc888
Posts: 7368
Incept: 2008-11-06
Gold
CT, the UNconstitution State
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Some of my customers are addicted to FB. For me, it's free. I post pics of jobs up there....and these jobs pop up all over the world. Quebec', England, Australia....all for free.

Just had an inquiry from Malaysia.

I NEVER use it as a social area......just bang pics up there and I'm outta there.....

Free


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...burp
Whewt
Posts: 2295
Incept: 2008-03-17
Silver A True American Patriot!
Lake Bonneville Shoreline!
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I saw a strange request the other day. Maybe someone here can verify. A FB user was requesting that all of his FB friends block his information from being shared. He was implying that prior, he could block his pics from being shared with friends of friends, but now, he was unable to do that.

Needs verification, but IMHO that is a much bigger deal. If now your pictures can be shared by your friends with their friends without your permission, that could be a game changer.

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Except for the math, it's all going to work out.
Chris92346
Posts: 1314
Incept: 2009-03-25

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As it is I hate going to FB because of the total unoptomized content... it can be a major resource hog... Now with video also??? Wow
Gamma
Posts: 5568
Incept: 2008-01-20
Gold
Northern CA
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Quote:
a collect call that you cannot refuse to pay for.


That's a Dennigerism if ever I read one!



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This stuff we're going through, this is nothing compared to the Middle Ages.
They told me if I voted for John McCain, an idiot would be a heartbeat away from the presidency. Sure enough...
Poodlelover
Posts: 147
Incept: 2012-02-02

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I quit facebook a year back. Agree ads, video ones in particular that override music you're listening to or whatever are VERY annoying.

Btw there is NO REASON to ever watch a Youtube ad. Go to youtube with google chrome and adblock and there are zero ads. Youtube does not embed them in a way that prohibits their being blocked; you will not have ads with chrome + adblock. Youtube is barely usable for everybody else who doesn't have this combination.
Medicdan
Posts: 8020
Incept: 2010-02-11
Green
Scottsdale, AZ
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The government is not going to let FB fail.

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Arizona & desert gardening
http://azediblegarden.com/
Cmalbatros
Posts: 202
Incept: 2008-05-07
Green
Woodstock, GA
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If there are any adverts for Pedigree or Meow Mix pet foods then they really have problems smiley

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The only regulation that works - is failure.
Remember, the value/price of stocks and shares fall as well as plummet.
Cetera
Posts: 77
Incept: 2009-05-21

Wyoming
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Saturday night we had a friend come over, a former exchange student, now U.S. Citizen, who will be shipping out, joining the armed forces for our country next month (poor, crazy dumb bastard).

He tried to friend my wife's FB account (I don't have one), and was prompted that he would be required to pay $1 in order to process the request to be sent to her! I should have taken a screenshot, but didn't think to. We exchanged email addresses instead.

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Is life so dear, or peace so sweet, as to be purchased at the price of chains and slavery? Forbid it, Almighty God!
Ggecko
Posts: 172
Incept: 2009-07-17

USA
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Let's see, $1 to send someone an email, several dollars to "promote" your posts, allowing advertisers to post IN MY NAME and now auto play video.

WHAT'S NOT TO LOVE?????
Ggecko
Posts: 172
Incept: 2009-07-17

USA
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I just hope AdBlock works on facebook as well...
Erkme73
Posts: 85
Incept: 2010-10-23

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What about the guy that checks his facebook page while at work, only to have a video start playing at full volume. I have a growing list of sites that I've black listed for doing exactly that. I don't mind video playing in the sidebar, so long as it's either paused or muted by default. But going to ANY site that automatically begins playing at max volume, is an instant disqualifier.
End_the_bubbles
Posts: 9520
Incept: 2009-03-25
Green
The New 3rd World
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Quote:
This company is a short to zero.


I kind of doubt that, as this is a Wall Street SCAM, after all.

Nonetheless, even if the stock was zero tomorrow, what difference would it make? The massive wealth transfer (THEFT) has already taken place, with the IPO and subsequent massive insider selling!

The scam has already been accomplished. All they are trying to do now is pretend they have a "business" to justify their previous fraud of taking this ****ing trash public.......

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In the long run even the most despotic governments with all their brutality and cruelty are no match for ideas. Eventually the ideology that has won the support of the majority will prevail and cut the ground from under the tyrant's feet and rise in rebellion to overthrow their masters.
Jfedak
Posts: 6722
Incept: 2007-06-26
Gold
Down in Fraggle Rock
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Quote:
I saw a strange request the other day. Maybe someone here can verify. A FB user was requesting that all of his FB friends block his information from being shared. He was implying that prior, he could block his pics from being shared with friends of friends, but now, he was unable to do that.


This is horse****:
http://www.snopes.com/computer/facebook/....

Basically every single chain status on Facebook is crap. Double check any of them against snopes.
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