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Introduction

Key announcements made at Facebook's F8 developer event included the company's renewed focus on privacy as it faces the prospect of a multi-billion dollar fine from the US Federal Trade Commission.

Highlights

  • Facebook's pivot on privacy is driven largely by business pragmatism. Its poor data privacy credentials put the company at risk of losing users and weakening its bottom line. As Facebook focuses on creating more private spaces, it needs to be careful about how it productizes these.
  • The company's privacy initiatives will not change its reliance on advertising as its key source of revenues, but they will change how it enables interactions between businesses and consumers in private spaces, for instance facilitating more direct relationships.

Features and Benefits

  • Learn how Facebook intends to ingrain privacy into its key products and services.
  • Identify how Facebook could open up additional advertising revenue in private spaces using Stories and Groups, and with influencer marketing.
  • Assess whether Facebook's revamp of Groups could help it to retain users, especially in the youth demographic.
  • Understand the initial steps that Facebook is taking toward the integration of its messaging apps, and the implications around security and competition.

Key questions answered

  • What impact will Facebook's pivot toward privacy have on its own business, as well as the wider industry?
  • How does Facebook plan to address the monetization of its messaging apps, aside from advertising revenues?
  • How successful are Facebook's AR and VR products and services?
  • What are Facebook's plans for further developing its AR and VR offerings?
  • How does Facebook plan to make gaming more discoverable on its platform?

Table of contents

Summary

  • Catalyst
  • Ovum view
  • Key messages
  • Recommendations

Privacy

  • Facebook's pivot on privacy is not driven by a new company ethos

Advertising

  • A privacy focus will not stop Facebook's reliance on ads

Social

  • Facebook has shifted from indiscriminate to selective sharing

Messaging apps

  • Facebook takes baby steps toward privacy and integration on messaging apps

AR and VR

  • Facebook is breaking new ground with VR, but gaining traction with AR

Games

  • Instant Games are key to Facebook's one-stop-shop vision

Appendix

  • Methodology
  • Further reading
  • Author

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