Slashdot: Meta Cuts Funding for US News Publishers

Meta Cuts Funding for US News Publishers
Published on August 01, 2022 at 08:14AM
Engadget writes that "After Meta's revenue shrank for the first time in its history, the company has reportedly told publishers it will no longer pay for content to run in Facebook's News Tab, according to Axios." Axios notes it's the end of three-year deals Facebook brokers in 2019 with news publishers. At the time, the company was ramping up its investment in news and hired journalists to help direct publisher traffic to its new tab for news. The deals were worth roughly $105 million in the U.S., sources told Axios. In addition to that, the company spent around $90 million on news videos for the company's video tab called "Watch." "A lot has changed since we signed deals three years ago to test bringing additional news links to Facebook News in the U.S. Most people do not come to Facebook for news, and as a business it doesn't make sense to over-invest in areas that don't align with user preferences," a Facebook spokesperson told Axios.

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