Facebook Loses 1 Million Users in America, But Gains $ 39 Billion

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Feb 1, 2018 // By:admin // No Comment

This is one of the news that is making noise across the Atlantic, but also at home: Facebook announced that it lost a million users in the fourth quarter of 2017, in the United States and Canada. A first for the social platform since its creation in 2004.

So one million users for Facebook, this represents 0.05% of monthly active users, that is to say those who connect at least once to the platform. So if for us, a million is a lot, it’s just a dust for Facebook. But where the problem lies, these users are among the most important incomes based on per-user income. In North America, an American (and Canadian) account for $ 26.76 of revenue to Facebook (in the fourth quarter). When a European represents 8.86 dollars over the same period. Moreover, it’s never a good idea to see users of a platform leave …

How to explain it? Since late 2016 with the US elections, Facebook has been endorsed in the business of Fake news, pointed at the fact of the creation of filtering bubbles through its algorithm, the cases of interference on the part of Russian groups in broadcasting advertisements to influence the elections. Cases that are difficult to manage and especially new for the social network. Despite a strong attitude from the firm, it is undeniable that these elements have weighed in the loss of users in the North American region. Before seeing a real decline, it will monitor the evolution of users in this region, but also in Europe or Africa.

 facebook revenue 2017 turnover Source: Facebook Investor Relations.

Apart from this news which is not a revolution, Facebook’s annual report also shows an increase in its advertising revenues: 39 billion dollars in 2017 against 26 billion in 2016, an increase of 49%. In terms of net income, Facebook ended up at almost $ 16 billion against $ 10 billion in 2016. This financial performance can take a step back from the loss of a million users in the last quarter …

Sources: Recode / The Next Web / Citrus Press / Facebook Investor Relations .

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