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Report: Google, Facebook Make Ad Firms Suffer On Dominating Digital Dollars

Search engines such as Google will lose some of their appeal for shopping as Amazon and other retail websites gain favour and advertiser dollars over the next few years

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Google launching Pixel 3 on October 9: Report. Pixabay
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The dominance of Google and Facebook of digital advertising has led to the number of independent and smaller ad tech companies falling 21 per cent since 2013 to 185 in the second quarter of 2018, the media reported.

According to a report in The New York Times on Sunday, venture capital money going into ad-tech start-ups is falling sharply.

“Online advertising companies have struggled for several years as Google and Facebook solidified their grip on digital dollars, slowing revenue for the others,” added the report, citing global marketing research firms including LUMA Partners.

While spending for online ads was more than $88 billion last year, over 90 per cent of that went to Google or Facebook.

“Amazon is also making inroads into advertising, with a new advertising arm, raising the possibility that it will become a top competitor,” said the report.

The company generated $2.2 billion in revenue from its advertising business in the second quarter this year.

Facebook
While spending for online ads was more than $88 billion last year, over 90 per cent of that went to Google or Facebook. Pixabay

While Facebook had been predicting its ad revenue to decelerate in 2017, it actually saw a strong growth of 48.8 per cent.

According to a recent Forrester report, brands will invest 55 per cent more in digital marketing by 2023.

“Search engines such as Google will lose some of their appeal for shopping as Amazon and other retail websites gain favour and advertiser dollars over the next few years,” said Forrester.

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The move signifies a shift in the way consumer shopping habits continue to change as they are headed toward Amazon and retail websites for shopping and toward Google and Bing for answers to questions.

“The shift gives Amazon a reason to strengthen its search features — text and voice — for organic traffic, as well as its search advertising platform,” said the report. (IANS)

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Facebook Introduces New Tools to Protect Elections Globally

In April, Facebook CEO Mark Zuckerberg testified in front of the US Senate, saying they were too slow to spot and respond to Russian interference

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Facebook
Facebook expands security tools to protect elections globally. Pixabay

In order to further secure candidates and campaign staff vulnerable to hackers and nation-state actors during the elections, Facebook has introduced additional tools to protect political campaigns in the US and around the world.

The social media giant has launched a pilot programme to expand its existing protections for users associated with US political campaigns ahead of the 2018 mid-term elections.

“Candidates for federal or statewide office, as well as staff members and representatives from federal and state political party committees, can add additional security protections to their Pages and accounts,” Nathaniel Gleicher, Head of Cybersecurity Policy at Facebook, wrote in a blog post late on Monday.

“We’ll help officials adopt our strongest account security protections, like two-factor authentication, and monitor for potential hacking threats,” Gleicher added.

Facebook
Facebook App on a smartphone device. (VOA)

Over the past year, the company has invested in new technology and more people to stay ahead of bad actors who are determined to use Facebook to disrupt elections.

“This pilot programme is an addition to our existing security tools and procedures, and we will apply what we learn to other elections in the US and around the world,” said Facebook.

“As we detect abuse, we will continue to share relevant information with law enforcement and other companies so we can maximise our effectiveness,” it added.

According to a report in Download, a working paper released last week revealed a significant drop-off in the engagements 570 fake news sites received on Facebook since the 2016 US presidential elections.

“At its peak, there were 200 million monthly engagements with the sites. As of July 2018, that’s dropped to 70 million,” the report added.

Facebook
Facebook, social media. Pixabay

In April, Facebook CEO Mark Zuckerberg testified in front of the US Senate, saying they were too slow to spot and respond to Russian interference.

“Our sophistication in handling these threats is growing and improving quickly. We now have about 15,000 people working on security and content review. We’ll have more than 20,000 by the end of this year,” he told the lawmakers.

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The Facebook CEO apologised for what happened and took responsibility for everything. He also said that there is an online propaganda “arms race” with Russia and it was important to make sure no one interferes in any more elections, including in India.

“The most important thing I care about right now is making sure no one interferes in the various 2018 elections around the world,” he testified before a 44-Senator panel. (IANS)