Despite a significant jump in usage in-app messaging and video calls, Facebook's ad revenue has dwindled as most of these services are not monetised.
Social media giant Facebook has admitted in a blog that its ad business has taken a hit in regions where coronavirus runs rampant. Despite a significant jump in usage in-app messaging and video calls, Facebook's ad revenue has dwindled as most of these services are not monetised.
“We’ve seen a weakening in our ads business in countries taking aggressive actions to reduce the spread of COVID-19,” said the blog.
The blog revealed that in regions battling the virulence, there has been a 50% surge in messaging. Video calls on messenger and WhatsApp have more than doubled.
In Italy, which has become the epicentre of Coronavirus pandemic, there has been a 70% jump in time spend across the app.
But much of the increased traffic has happened on Facebook’s messaging services, which don’t get monetised. The social media giant explains this is the reason for reduced ad revenue.
