As Facebook is investigated by the Department of Justice, the FTC, and over 40 state prosecutors, it now claims it isn’t just competing with other social media sites, it’s competing with newspapers, television, and videogames. As the investigations continue and whispers of breaking up the company increase, Facebook’s lobbyists advocate for an expanded market size, likely in an attempt to make Facebook appear less dominant. But as local newspapers struggle to keep the lights on in the midst of COVID-19 crisis, Facebook’s profit has increased despite sharp ad declines. In 2019, Facebook made over $67 billion from digital ads, and their first-quarter revenue was up 18 percent for this year, making many worries deepen about the pandemic expanding big tech’s already pervasive power. Read more here.
Members of the News/Media Alliance staff have contributed to this post.