Facebook trying to justify why they're adding sponsored stories

Everyone hates reading adverts, but they also hate paying for products. It's a never ending cycle, similar to that of Wikipedia. However, news of Facebook adding "sponsored stories" to the news feed in 2012 has caused massive outrage online, as it does every time Facebook changes something.

It appears now that Facebook feels like they need to justify why they're making the changes, and have started putting an announcement on users homepages that appears to explain why the company needs ads to survive. The announcement (pictured below) asks "Ever wonder how Facebook makes money?"

Even stranger, the link goes nowhere now, but we were able to find a page that explains the difference between "ads" and "sponsored stories." There's also a FAQ with more information here. They explain them to be:

A business pays Facebook to feature existing posts and activity that mention the business. Sponsored stories don't include additional messaging from the sponsor. Like Facebook Ads, they're only visible to friends you've already shared this information with.

We suspect that most users probably don't care, and never have wondered how the site raises cash and just want to get on using the site with minimal interference. The question remains though, does Facebook actually need more money to run, or are they just attempting to raise their profit lines?

Thanks to forum member ppheerroonn for the tip!

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28 Comments

Commenting is disabled on this article.

Frankly I'd rather PAY a small subscription charge for Facebook, to be able to turn off all the stupid adverts, dating website links and now these ridiculous sponsored stories OFF.

What narcs me is that they start off with a service that costs nothing to the user and is, generally, ad-free and easy to use. Over time the service quality degrades, the adverts start to dominate the page then they have the brass neck to tell you "BUT IT'S REALLY EXPENSIVE TO RUN" - that's not the users problem, that's Facebook's problem - they should have thought of that!

But as I say... I'd pay £5/month or something as I do certainly use Facebook enough.

lflashl said,
hahaha this is the link that i have

https://www.facebook.com/about/ads/?megaphone=1#selling

now they claim that "It now costs over a billion dollars a year to run Facebook, and delivering ads is how Facebook pays for this." BTW 27,195 people like this!.

Q: Is it true that Facebook sells my name and contact info to make money?
A: No. Facebook does not sell your personal information. Instead, Facebook makes its money from showing you ads.

lflashl said,
hahaha this is the link that i have

https://www.facebook.com/about/ads/?megaphone=1#selling

now they claim that "It now costs over a billion dollars a year to run Facebook, and delivering ads is how Facebook pays for this." BTW 27,195 people like this!.

Well..if it costs over a billion dollars to run Facebook...and Mark Zuckerberg is worth over 17 billion dollars...sounds to me he doesn't need to insert extra advertising.

Only thing I am concerned about with more and more ads being crowded onto webpages is that...each of these ads are chock full of scripts that use up your bandwidth and CPU usage.

I mean...these banners dance...play videos...play the actual tv commercial on the banner...has curser interaction....plays flash.

It's just more for your PC to have to digest. Hell...I have even seen some flash ads that will make some PCs run their CPU at almost 100% for as long as the ad is on the webpage.

DARKFiB3R said,
Un-like everything. Job done?

More or less, so it seems. I have only 4-5 things liked anyways, so I don't care much, but still.

Facebook takes my (and everybody else's) information and sells it without us seeing a freaking dime while they make millions and now they have the AUDACITY to throw ads on there WITH our personal photos? I will do everything I can to destroy their revenue stream, you better believe it.

Someone holding a gun to your head to make you stay? IF you don't like it get out and stop using FB.. Let everyone who gives a sh*t stop using FB. Or just un-like whatever it is you do not want to be associated with in these adds

Guess what, in the end they won't even know you're gone..

vladmphoto said,
Facebook takes my (and everybody else's) information and sells it without us seeing a freaking dime while they make millions and now they have the AUDACITY to throw ads on there WITH our personal photos? I will do everything I can to destroy their revenue stream, you better believe it.

Remember, if the product is free for you to use, you're not the customer, you're the product being sold

metallithrax said,

That's not the problem though.

Read here for more info - http://www.theregister.co.uk/2...facebook_sponsored_stories/

They will be putting YOUR photos into adverts (for products you have "liked") and showing them on your and your friends pages.

no, that's something completely different and is an optional setting in your profile and has been for a long time. they're putting ONE sponsored post in your newsfeed a day. You'll actually have to go into your own page to even see it, how often does anyone actually go into peopels pages after they add them, much less their own.

Right.. so is not ads but "Sponsored Stories".
M.Z. is a genius... they should have given him a Nobel prize.

He is doing exactly what MySpace did and what threw them under the bus.... I guess he is doing it a bit more refined and gradually, but at the end he'll do the same **** and sell all private information to advertising companies and then spam all the users with garbage ads... ooops sorry, "Sponsored Stories"

The question remains though, does Facebook actually need more money to run, or are they just attempting to raise their profit lines?

I'm no expert but I'm fairly certain most businesses operate for profits.

The question remains though, does Facebook actually need more money to run, or are they just attempting to raise their profit lines?

Facebook is not a charitable institution!

They had two options. They can just do it, and get backlash (like twitter did) and they had to give up. Or they can explain it first, and try to get people to understand.

They did it right.

The thing is, if someone doesn't like it, don't use Facebook.

episode said,
They had two options. They can just do it, and get backlash (like twitter did) and they had to give up. Or they can explain it first, and try to get people to understand.

They did it right.

The thing is, if someone doesn't like it, don't use Facebook.

Or.....they could use every technology out there to block Facebook's ads and get rid of the annoyance and if Facebook doesn't like it, they are free to close shop.

vladmphoto said,

Or.....they could use every technology out there to block Facebook's ads and get rid of the annoyance and if Facebook doesn't like it, they are free to close shop.

Please don't ever try to run a business . . .

episode said,
They had two options. They can just do it, and get backlash (like twitter did) and they had to give up. Or they can explain it first, and try to get people to understand.

They did it right.

The thing is, if someone doesn't like it, don't use Facebook.

hahaha so you believe "It now costs over a billion dollars a year to run Facebook"

I would say not only do people not want to read how they make money, they also do not want to read such "news" stories about it.

The page doesn't go nowhere for me. It goes to the page listed.

I don't really care. It's their platform, it's free, so they can do with it as they wish as long as they're more forthcoming about it as they have been in the past.

Ayepecks said,
The page doesn't go nowhere for me. It goes to the page listed.

I don't really care. It's their platform, it's free, so they can do with it as they wish as long as they're more forthcoming about it as they have been in the past.


Can you screenshot it mate?

Ayepecks said,
The page doesn't go nowhere for me. It goes to the page listed.

I don't really care. It's their platform, it's free, so they can do with it as they wish as long as they're more forthcoming about it as they have been in the past.


That's the problem, though, they're rarely forthcoming about anything...