(FILES) This file photo taken on December 4, 2017 shows a mousepad with the Facebook logo at Facebook's headquarters,in London. Shares of Facebook tumbled on january 12, 2018 after it announced an overhaul of its newsfeed, while US stocks added to records following data showing higher retail sales in December. About 12 minutes into trading, the Dow Jones Industrial Average was at 25,675.70, up 0.4 percent. / AFP PHOTO / Daniel LEAL-OLIVAS
Facebook Inc’s decision to shift people’s news feeds back toward posts from friends and family and away from businesses and media outlets will likely mean users spend less time on the site. Yet analysts say advertising revenue may continue to grow as quality over quantity wins out.
After a year spent on the defensive for Facebook’s role in Russian election meddling, cyber bullying, and general backlash against social media, chief executive officer Mark Zuckerberg wants to focus on more bringing people together through more meaningful social interactions. He’s betting that without a constant barrage from publishers and brands – especially on negative news topics – that people will take more time to banter with friends about a party or favourite TV show or praise for an accomplished niece.
