Friday, April 19, 2024
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Facebook, Inc.’s Politics Are Bad for Business

The deal is this: FB stock is driven entirely by ad revenues. However, because Facebook is so complicated and a black box when it comes to how the platform engages users and vice-versa, it is very easy for management to just wave their hands and call things “algorithms”. As we roll this out, you’ll see less public content like posts from businesses, brands and media. And the public content you see more will be held to the same standard — it should encourage meaningful interactions between people.” That sounds just lovely, and so does this: “We feel a responsibility to make sure our services aren’t just fun to use, but also good for people’s well-being. Zuckerberg’s politics are well-known. How Facebook’s Politics Affect FB Stock Why does this matter for FB stock shareholders? Anytime a business wades into politics, it is bad for business. In attempting to drive a political agenda, it creates the appearance of a CEO that is more distracted by politics than by just running his business. However, advertisers might. He does not own any stock mentioned.