Facebook parent Meta is shifting away from current affairs and politics on its social media platforms, and will instead focus on short-form videos and content from influencers vs. news, the Financial Times reports.
The decision comes after years of attempting to placate powerful publishers and striking deals with various media organizations. What's more, Meta is currently in a stand-off with the Canadian government over legislation which requires platforms to pay publishers and broadcasters for their content. As a result, Meta announced its decision to remove the news from its feeds in the country, leading to a revolt by over 30 advertisers in Canada who say they'll pull their ads in protest.
"The Online News Act is based on the incorrect premise that social media companies benefit unfairly from news content shared on our platforms, when the reverse is true," Meta said, adding that news outlets can use social media to "help their bottom line."
Canadian minister of heritage Pablo Rodriguez disagrees, telling the Financial Times that he's "deeply convinced that Google’s and Facebook’s concerns can be resolved through the regulatory process."
"If Facebook truly believes that news has no value, they can say so at the negotiating table. Threats to pull news instead of complying with the laws in our country only highlight the power that platforms hold over news organisations, both big and small," he added.
Meta is also assessing whether the Canadian legislation will require it to remove news links and other content on their rapidly imploding Threads app - which is built on the foundation of the popular photo-sharing app Instagram. The app notably prioritizes content posted by creators and friends over hard news or politics.
Sandra Matz, associate professor of business at New York’s Columbia Business School, said that Meta appears to be discouraging news and politics from Threads as a business decision to avoid more scandals over misinformation and election denial, and to facilitate moderation.
Mark Zuckerberg, Meta’s chief executive, insists Threads will be a “friendly” space in contrast to Twitter, which has loosened its moderation since Elon Musk bought the platform for $44bn in October, frustrating some users and advertisers. Meta has not hired new moderators for Threads but is relying on those at Instagram. -FT
According to the report, senior Meta executives have concluded that there's a fundamental clash of interests between the company and the news industry. According to research commissioned by the company, their 3 billion users prefer short-form videos and content from influencers over news and politics. Publishers disagree, and argue that news is a high-value offering that boosts engagement.
"Without trusted news and being able to share that, you’re cutting out what is going on in the real world," said Jason Kint, chief executive of Digital Content Next, a trade association representing the digital news industry. "Long term, the question is whether it’s sustainable for them."
Between the Canadian law and Meta's internal research, the company has taken an increasingly combative approach - and claims that social media companies benefit less when news content is shared on their platforms vs. mindless distractions that give young girls body image disorders and generally degrade society.
