Facebook changes News Feed, investors click on 'sad'

Facebook shares slip after News Feed overhaul

Facebook shares slip after News Feed overhaul

Stories and clips that draw comments and likes or are shared by users are more likely to be seen, Facebook said in the email obtained by Bloomberg. In this charged atmosphere, agents working for a Kremlin-linked company, the Internet Research Agency, disseminated content that reached an estimated 126 million users in the United States in 2016, Facebook revealed to Congress during hearings on the matter previous year.

Facebook CEO Mark Zuckerberg said that Facebook is making these changes because he is concerned about his legacy and that of the company he founded. Last year, Facebook disclosed that Russian agents had used the social network to spread divisive and inflammatory posts and ads to polarize the US electorate.

Currently, News Feed has been created to share a mix of "public" content from brands along with posts by friends and family. "But I also expect the time you do spend on Facebook will be more valuable".

The Silicon Valley company constantly experiments with what shows up in the News Feed and in the past has also said it would prioritize posts from users' friends and family.

He identified the problem as being video and other content that has exploded on Facebook in the past couple of years, making it sound like these things just happened when in reality it's Facebook who's behind the big video push that became part of the daily Facebook experience.

Although Zuckerberg said the changes will take time to roll out, users will start noticing they see fewer posts from publishers and businesses and more content from their friends and family.

Many news organizations, bloggers and businesses have grown reliant on Facebook to spread information - articles, videos, infomercials - to their followers without paying for ads.

Thursday's changes raise questions of whether people may end up seeing more content that reinforces their own ideologies if they end up frequently interacting with posts and videos that reflect the similar views of their friends or family.

Nearly half of USA adults get at least some of their news from Facebook, according to a recent survey from the Pew Research Center.

"It's in the same direction that Facebook has been pursuing for a while: offering a place for discussion among individuals, a community space, rather than being a news source", said Oh Se-uk, a senior researcher on digital news at the Korea Press Foundation.

"It's obvious that the days of getting exposure as a business on Facebook are coming to an end", said Michael Stelzner, the CEO of social media marketing company Social Media Examiner.

"This will be one of the more important updates that we have made".

This means that if you're counting on Facebook to deliver news from this news outlet, or virtually any other news outlet, then you're going to be seeing less of that. Zuckerberg later said he had been too hasty and dismissive of the concerns. "Good on Facebook - they are doing the right thing, long-term". More recently, he began signaling that Facebook was rethinking what it shows people on the site.

"We can feel more connected and less lonely, and that correlates with long term measures of happiness and health".

"We've told our clients we anticipate a dip", said Casey Whittington at communications firm The Whittington Group, "but we are going to work really hard to make sure that's a very temporary step".

So arguably the company can afford to shift its focus a bit away from quarterly profit gains and metrics like "user engagement" that get advertisers salivating. The upshot: "I'm changing the goal I give our product teams from focusing on helping you find relevant content to helping you have more meaningful social interactions".

As CNN commented, "With more than two billion monthly users, any change Facebook makes can be a seismic event". Sharing these moments together, Facebook reasons, deepens the connections between people, even if they can't always be together offline.

"It's important to me that when Max and August grow up that they feel like what their father built was good for the world", Zuckerberg said.

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