Facebook Has Millions of New Users: But Is It a Good Thing?
I’m starting to enjoy Facebook more than Friendster. Don’t get me wrong. I still like Friendster, it’s just that Facebook’s layout is more intuitive, I get things done faster and, at least in my opinion, Facebook has more interesting apps and features.
Last night, while casually browsing, I stumbled upon an online column (I’ll try to find it and post the link here) wherein the writer mentioned that although Facebook is growing exponentially, they are growing in the wrong market.
The writer argued that most of the new Facebook users are people outside the United States who generate very small advertising revenue for the social site. What this means is that few advertisers are interested in having their ads shown to these demographics.
Being here in the Philippines, I am pretty sure that we belong to that demographic.
Facebook needs servers to provide the service to all these new users. And servers cost a lot of money. If these new users are not generating enough income to contribute to Facebook’s finances, should the company just close their doors to these people and instead focus on U.S. members instead?
That would be a sad day indeed should that thing happen.
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I like Facebook too but I could not leave my friends, former classmates and officemates who are still using Friendster.
I hope Facebook doesn’t close doors to the non-US market. I’m sure Facebook management is aware of this problem.
I honestly don’t think Facebook would do such a thing. They would get heavily criticized for that (just like what happened to their recent TOS change, which they promptly reverted).