Digital Business Models and Upload Filters: The End of Social Media?

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Upload filters and social networks: While net activists fear the end of the free Internet, others see the end of Facebook on the horizon after leaving Google+. Is this the end of social media?

Digital Business Models and Upload Filters: The End of Social Media? Digital Business Models and Upload Filters: The End of Social Media?

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Simone Janson Simone JansonSimone Janson is publisher, German Top20 blogger and Consultant for HR communication.


Google vs. Facebook: fight of internet giants

Facebook and Google are undisputed internet giants. Your business model: advertising. While Google generates its advertising revenue from the search function, it is social interaction on Facebook. Which method works better now? And which business model will succeed in the long term?

Google+ has just died a slow death. The social network had no chance against Facebook and is now turned off. At the same time, however, Facebook has just suffered a strong loss of confidence, not only the Cambridge Analytica scandal but also the numerous fake accounts greet. So what about the future of Facebook? And are social media altogether sustainable in the future?

Facebook in 5 years in the end thanks to loss of trust?

If you believe the trust researcher Rachel Botsman, Facebook will be finished in five years. In one Interview with t3n she stated:

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“The Facebook brand dies. It will be the new Myspace in five years. ”

Botsman is a lecturer at Saïd Business School, part of Oxford University. In her book, "Who can you trust? How technology brought us together - and why it might drive us apart "is all about trust and technology and how trust has changed in the course of civilization's history. Your reason:

“[Users] may passively trust Facebook and be there to maybe find an old classmate. But Facebook gambled away the trust that we, as users, had in the platform - or better - to play a really important role in our lives. Think about it: If Facebook wants to implement all of the planned things because they had this unique platform, such as starting a television station or banking service, it will be extremely difficult now. ”

As I was able to determine in the past few years, especially in relation to social media, dead ones live longer. In my view, however, the business model of Facebook still has some other weaknesses, especially in direct comparison with Google. These include, for example:

  • The black box weakness: The main problem of Facebook from an economic point of view is a feature that is also criticized by network activists again and again: Facebook is like a black box, which wants to absorb all content and complete the outside. Who is not part of the network, does not get what's going on. But this is precisely the structural weakness of Facebook: While Google makes all content accessible, Facebook blocks access for users. Of course everyone starts Company first with the claim to be the sole Nr. 1 and try to pull the users on their side. But at some point they realize that it does not work.
  • Hot air syndrome: Facebook is largely driven by hot air and its success from hypes. Long ago, company employees have admitted that Facebook has been specifically focused on provoking certain emotional reactions in the user. Many more is simply not behind it.
  • The “communist” business model: The business model of Facebook is interchangeable. While Google's search is unrivaled today, and Google is also monetizing the content of others in some kind of communist business model, Facebook's business model can easily be copied. The overlaps with other social networks are too strong.
  • Fragmentation of communication: Evolutionarily, all ideas strive for specification. Our social communication will continue to fragment as well. The trend is towards a special network where specific communities meet and exchange ideas - such as LinkedIn for highly specialized business contacts or Researchgate for scientists. Facebook as a network for all can therefore not exist on the market in the long term.
  • The mosaic strategy: Google, for example, simply has a much broader base for its business model with its multitude of services. The search engine supplier pursues a strategy of the mosaic stones, in which many small offers under the brand name Google give a large whole - differently than Facebook, which so far only the social network could establish.

The end of Facebook only a matter of time?

The early end of Facebook? Considering billions of users, this thesis sounds a bit daring. And yet a look into the story teaches that this is quite possible: The Internet as a black box - this concept has already tried to establish AOL in the 90ern unsuccessful. In addition, I notice on Facebook at the significantly decreased communication readiness of users that the huge hype is over.

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After all, fragmentation is a fact that is very evident in economic history. And while Google+ lags behind its importance behind Facebook, Google actually has the broader business model. Whether this really means the end of Facebook remains to be seen. In any case, it remains exciting.

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  1. Leon

    Social media is total nonsense, that can easily disappear.

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