Snapchat adds new styles as Spectacles V2s get used 40% more than V1

Snapchat adds new styles as Spectacles V2s get used 40% more than V1
Snapchat isn’t revealing sales numbers of version 2 of its Spectacles camera sunglasses, but at least they’re not getting left in a drawer as much as the V1s. The company tells me V2 owners are capturing 40 percent more Snaps than people with V1s.
And today, Snapchat is launching two new black-rimmed hipster styles of Spectacles V2 — a Wayfarer-esque Nico model and a glamorous big-lensed Veronica model. Both come with a slimmer semi-soft black carrying case instead of the chunky old triangular yellow one, and are polarized for the first time. They look a lot more like normal sunglasses, compared to the jokey, bubbly V1s, so they could appeal to a more mature and fashionable audience. They go on sale today for $199 in the US and Europe and will be sold in Neiman Marcus and Nordstrom later this year, while the old styles remain $149.
 
The new Spectacles styles (from left): Veronica and Nico
Spectacles V2 original style (left) and V1 (right)
Snap is also trying to get users to actually post what they capture, so it’s planning an automatically curated Highlight Story feature that will help you turn your best Specs content into great things to share. That could address the problem common amongst GoPro users of shooting a ton of cool footage but never editing it for display.
The problem is that V1 were pretty exceedingly unpopular, and those that did buy them. Snap only shipped 220,000 pairs and reportedly had hundreds of thousands more gathering dust in a warehouse. It took a $40 million write-off and its hardware “camera company” strategy was called into question. Business Insider reported that less than 50 percent of buyers kept using them after a month and a “sizeable” percentage stopped after just a week.
The new styles come with a slimmer semi-soft carry case
That means the bar was pretty low from which to score a 40 percent increase in usage, especially given the V2s take photos, work underwater, come in a slimmer charging case, and lack the V1s’ bright yellow ring around the camera lens that announces you’re wearing a mini computer on your face. Snap was smart to finally let you export in non-circular formats which are useful for sharing beyond Snapchat, and let you automatically save Snaps to your camera roll and not just its app’s Memories feature.
I’ve certainly been using my V2s much more than the V1s since they’re more discrete and versatile. And I haven’t encountered as much fear or anxiety from people worried about being filmed as privacy norms around technology continue to relax.

Why Snapchat Spectacles failed

But even with the improved hardware, new styles, and upcoming features, Spectacles V2 don’t look like they’re moving the needle for Snapchat. After shrinking in user count last quarter, Snap’s share price has fallen to just a few cents above its all-time low. Given most of its users are cash-strapped teens who aren’t going to buy Spectacles even if they’re cool, the company needs to focus on how to make its app for everyone more useful and differentiated after the invasion of Instagram’s copy-cats of its Stories and ephemeral messaging.
Whether that means securing tentpole premium video content for Discover, redesigning Stories to ditch the interstitials for better lean-back viewing, or developing augmented reality games, Snap can’t stay the course. Despite its hardware ambitions, it’s fundamentally a software company. It has to figure out what makes that software special.

Snapchat launches Spectacles V2, camera glasses you’ll actually wear

Source: Gadgets – techcrunch

For IGTV, Instagram needs slow to mean steady

For IGTV, Instagram needs slow to mean steady

Instagram has never truly failed at anything, but judging by modest initial view counts, IGTV could get stuck with a reputation as an abandoned theater if the company isn’t careful. It’s no flop, but the long-form video hub certainly isn’t an instant hit like Instagram Stories. Two months after that launched in 2016, Instagram was happy to trumpet how its Snapchat clone had hit 100 million users. Yet two months after IGTV’s launch, the Facebook subsidiary has been silent on its traction.

“It’s a new format. It’s different. We have to wait for people to adopt it and that takes time,” Instagram CEO Kevin Systrom told me. “Think of it this way: we just invested in a startup called IGTV, but it’s small, and it’s like Instagram was ‘early days.’”

It’s indeed too early for a scientific analysis, and Instagram’s feed has been around since 2010, so it’s obviously not a fair comparison, but we took a look at the IGTV view counts of some of the feature’s launch partner creators. Across six of those creators, their recent feed videos are getting roughly 6.8X as many views as their IGTV posts. If IGTV’s launch partners that benefited from early access and guidance aren’t doing so hot, it means there’s likely no free view count bonanza in store from other creators or regular users.

They, and IGTV, will have to work for their audience. That’s already proving difficult for the standalone IGTV app. Though it peaked at the #25 overall US iPhone app and has seen 2.5 million downloads across iOS and Android according to Sensor Tower, it’s since dropped to #1497 and seen a 94 percent decrease in weekly installs to just 70,000 last week.

Instagram will have to be in it for the long haul if it wants to win at long-form video. Entering the market 13 years after YouTube with a vertical format no one’s quite sure what to do with, IGTV must play the tortoise. If it can avoid getting scrapped or buried, and offer the right incentives and flexibility to creators, IGTV could deliver the spontaneous video viewing experience Instagram lacks. Otherwise, IGTV risks becoming the next Google Plus — a ghost town inside an otherwise thriving product ecosystem.

A glitzy, glitchy start

Instagram gave IGTV a red carpet premiere June 20th in hopes of making it look like the new digital hotspot. The San Francisco launch event offered attendees several types of avocado toast, spa water and ‘Gram-worthy portrait backdrops reminiscent of the Color Factory or Museum of Ice Cream. Instagram hadn’t held a flashy press event since the 2013 launch of video sharing, so it pulled out all the stops. Balloon sculptures lined the entrance to a massive warehouse packed with social media stars and ad execs shouting to each other over the din of the DJ.

But things were rocky from the start. Leaks led TechCrunch to report on the IGTV name and details in the preceding weeks. Technical difficulties with Systrom’s presentation pushed back the start, but not the rollout of IGTV’s code. Tipster Jane Manchun Wong sent TechCrunch screenshots of the new app and features a half hour before it was announced, and Instagram’s own Business Blog jumped the gun by posting details of the launch. The web already knew how IGTV would let people upload vertical videos up to an hour long and browse them through categories like “Popular” and “For You” by the time Systrom took the stage.

IGTV’s launch event featured Instagram-themed donuts and elaborate portrait backdrops. Images via Vicki’s Donuts and Mai Lanpham

“What I’m most proud of is that Instagram took a stand and tried a brand new thing that is frankly hard to pull off. Full-screen vertical video that’s mobile only. That doesn’t exist anywhere else,” Systrom tells me. It was indeed ambitious. Creators were already comfortable making short-form vertical Snapchat Stories by the time Instagram launched its own version. IGTV would have to start from scratch.

Systrom sees the steep learning curve as a differentiator, though. “One of the things I like most about the new format is that it’s actually fairly difficult to just take videos that exist online and simply repost them. That’s not true in feed. That basically forces everyone to create new stuff,” Systrom tells me. “It’s not to say that there isn’t other stuff on there but in general it incentivizes people to produce new things from scratch. And that’s really what we’re looking for. Even if the volume of that stuff at the beginning is smaller than what you might see on the popular page [of Instagram Explore].”

Instagram CEO Kevin Systrom unveils IGTV at the glitzy June 20th launch event

Instagram forced creators to adopt this proprietary format. But it forget to train Stories stars how to entertain us for five or 15 minutes, not 15 seconds, or convince landscape YouTube moguls to purposefully shoot or crop their clips for the way we normally hold our phones.

IGTV’s Popular page features plenty of random viral pap, foreign language content, and poor cropping

That should have been the real purpose of the launch party — demonstrating a variety of ways to turn these format constraints or lack thereof into unique content. Vertical video frames people better than places, and the length allows sustained eye-to-lens contacts that can engender an emotional connection. But a shallow array of initial content and too much confidence that creators would figure it out on their own deprived IGTV of emergent norms that other videographers could emulate to wet their feet.

Now IGTV feels haphazard, with trashy viral videos and miscropped ports amongst its Popular section alongside a few creators trying to produce made-for-IGTV talk shows and cooking tutorials. It’s yet to have its breakout “Chewbacca Mom” or “Rubberbanded Watermelon” blockbuster like Facebook Live. Even an interview with mega celeb Kylie Jenner only had 11,000 views.

Instagram wants to put the focus on the author, not the individual works of art. “Because we don’t have full text search and you can’t just search any random thing, it’s about the creators” Systrom explains. “I think that at its base level that it’s personality driven and creator driven means that you’re going to get really unique content that you won’t find anywhere else and that’s the goal.”

Yet being unique requires extra effort that creators might not invest if they’re unsure of the payoff in either reach or revenue. Michael Sayman, formerly Facebook’s youngest employee who was hired at age 17 to build apps for teens and who now works for Google, summed it up saying: “Many times in my own career, I’ve tried to make something with a unique spin or a special twist because I felt that’s the only way I could make my product stand out from the crowd, only to realize that it was those very twists and spins that made my products feel out of place and confusing to users. Sometimes, the best product is one that doesn’t create any new twists, but rather perfects and builds on top of what has been proven to already be extremely successful.”

A fraction of feed views

The one big surprise of the launch event was where IGTV would exist. Instagram announced it’d live in a standalone IGTV app, but also as a feature in the main app accessible from an orange button atop the home screen that would occasionally call out that new content was inside. It could have had its own carousel like Stories or been integrated into Explore until it was ready for primetime.

Instead, it was ignorable. IGTV didn’t get the benefit of the home screen spotlight like Instagram Stories. Blow past that one orange button and avoid downloading the separate app, and users could go right on tapping and scrolling through Instagram without coming across IGTV’s longer videos.

View counts of the launch partners reflect that. We looked at six launch partner creators, comparing their last six feed and IGTV videos older than a week and less than six months old, or fewer videos if that’s all they’d posted.

Only one of the six, BabyAriel, saw an obvious growth trend in her IGTV videos. Her candid IGTV monologues are performing the best of the six compared to feed. She’s earning an average of 243,000 views per IGTV video, about a third as many as she gets on her feed videos. “I’m really happy with my view counts because IGTV is just starting” BabyAriel tells me. She thinks the format will be good for behind-the-scenes clips that complement her longer YouTube videos and shorter Stories. “When I record anything, It’s vertical. When I turn my phone horizontal I think of an hour-long movie.”

Lele Pons, a Latin American comedy and music star who’s one of the most popular Instagram celebrities, gets about 5.7X more feed views than on her IGTV cooking show that averages 1.9 million hits. Instagram posted some IGTV highlights from the first month, but the most popular of now has 4.3 million views — less than half of what Pons gets on her average feed video.

Fitness guides from Katie Austin averaged just 3,600 views on IGTV while she gets 7.5X more in the feed. Lauren Godwin’s colorful comedy fared 5.2X better in the feed. Bryce Xavier saw the biggest differential, earning 15.9X more views for his dance and culture videos. And in the most direct comparison, K-Pop dancer Susie Shu sometimes posts cuts from the same performance to the two destinations, like one that got 273,000 views in feed but just 27,000 on IGTV, with similar clips fairing an average of 7.8X better.

Again, this isn’t to say IGTV is a lame horse. It just isn’t roaring out of the gates. Systrom remains optimistic about inventing a new format. “The question is can we pull that off and the early signs are really good,” he tells me. “We’ve been pretty blown away by the reception and the usage upfront,” though he declined to share any specific statistics. Instagram promised to provide more insight into traction in the future.

YouTube star Casey Neistat is less bullish. He doesn’t think IGTV is working and that engagement has been weak. If IGTV views were surpassing those of YouTube, creators would flock to it, but so far view counts are uninspiring and not worth diverting creative attention, Neistat says. “YouTube offers the best sit-back consumption, and Stories offers active consumption. Where does IGTV fit in? I’m not sure” he tells me. “Why create all of this unique content if it gets lower views, it’s not monetizable, and the viewers aren’t there?”

Susie Shu averages 7.8X more video views in the Instagram feed than on IGTV

For now, the combination of an unfamiliar format, the absence of direction for how to use it and the relatively buried placement has likely tempered IGTV’s traction. Two months in, Instagram Stories was proving itself an existential threat to Snapchat — which it’s in fact become. IGTV doesn’t pose the same danger to YouTube yet, and it will need a strategy to support a more slow-burn trajectory.

The chicken and the IG problem

The first step to becoming a real YouTube challenger is to build up some tent-pole content that gives people a reason to open IGTV. Until there’s something that captures attention, any cross-promotion traffic Instagram sends it will be like pouring water into a bucket with a giant hole in the bottom. Yet until there’s enough viewers, it’s tough to persuade creators to shoot for IGTV since it won’t do a ton to boost their fan base.

Fortnite champion Ninja shares a photo of IGTV launch partners gathered backstage at the press event

Meanwhile, Instagram hasn’t committed to a monetization or revenue-sharing strategy for IGTV. Systrom said at the launch that “There’s no ads in IGTV today,” but noted it’s “obviously a very reasonable place [for ads] to end up.” Without enough views, though, ads won’t earn enough for a revenue split to incentivize creators. Perhaps Instagram will heavily integrate its in-app shopping features and sponsored content partnerships, but even those rely on having more traffic. Vine withered at Twitter in part from creators bailing due to its omission of native monetization options.

So how does IGTV solve the chicken-and-egg problem? It may need to swallow its pride and pay early adopters directly for content until it racks up enough views to offer sustainable revenue sharing. Instagram has never publicly copped to paying for content before, unlike its parent Facebook, which offered stipends ranging into the millions of dollars for publishers to shoot Live broadcasts and long-form Watch shows. Neither have led to a booming viewership, but perhaps that’s because Facebook has lost its edge with the teens who love video.

Instagram could do better if it paid the right creators to weather IGTV’s initial slim pickings. Settling on ad strategy creators can count on earning money from in the future might also get them to hang tight. Those deals could mimic the 55 percent split of mid-roll ad breaks Facebook gives creators on some videos. But again, the views must come first.

Alternatively, or additionally, it could double down on the launch strategy of luring creators with the potential to become the big fish in IGTV’s small-for-now pond. Backroom deals to trade being highlighted in its IGTV algorithm in exchange for high-quality content could win the hearts of these stars and their managers. Instagram would be wise to pair these incentives with vertical long-form video content creation workshops. It could bring its community, product and analytics leaders together with partnered stars to suss out what works best in the format and help them shoot it.

The cross-promo spigot

Once there’s something worth watching on IGTV, the company could open the cross-promo traffic spigot. At first, Instagram would send notifications about top content or IGTV posts from people you follow, and call them out with a little orange text banner atop its main app. Now it seems to understand it will need to be more coercive.

Last month, TechCrunch tipster Jane Manchun Wong spotted Instagram showing promos for individual IGTV shows in the middle of the feed, hoping to redirect eyeballs there. And today, TechCrunch researcher Matt Navarra found Instagram getting more aggressive by putting a bigger call out featuring a relevant IGTV clip with preview image above your Stories tray on the home screen. It may need to boost the frequency of these cross-promotions and stick them in-between Stories and Explore sections as well to give IGTV the limelight. These could expose users to creators they don’t follow already but might enjoy.

It’s still early but I do think there’s a lot of potential when they figure out two things since the feature is so new,” says John Shahidi, who runs the Justin Bieber-backed Shots Studios, which produces and distributes content for Lele Pons, Rudy Mancuso and other Insta celebs. “1. Product. IGTV is not in your face so Instagram users aren’t changing behavior to consume. Timeline and Instagram Stories are in your face so those two are the most used features. 2. Discoverability. I want to see videos from people I don’t follow. Interesting stuff like cooking, product review, interesting content from brands but without following the accounts.” In the meantime, Shots Studios is launching a vertical-only channel on YouTube that Shahidi believes is the first of its kind.

Instagram will have to balance its strategic imperative to grow the long-form video hub and avoid spamming users until they hate the brand as a whole. Some think it’s already gone too far. “I think it’s super intrusive right now,” says Tiffany Zhong, once known as the world’s youngest venture capitalist who now runs Generation Z consulting firm Zebra Intelligence. “I personally find all the IGTV videos super boring and click out within seconds (and the only time I watch them are if I accidentally tapped on the icon when I tried to go to my DMs instead).” Desperately funneling traffic to the feature before there’s enough great content to power relevant recommendations for everyone could prematurely sour users on IGTV. 

Systrom remains optimistic he can iterate his way to success. “What I want to see over the next six to 12 months is a consistent drumbeat of new features that both consumers and creators are asking for, and to look at the retention curve and say ‘are people continuing to watch? Are people continuing to upload?,’” says Systrom. “So far we are seeing that all of those are healthy. But again trying to judge a very new kind of audacious format that’s never really been done before in the first months is going to be really hard.”

Differentiator or deterrent?

The biggest question remains whether IGTV will remain devout to the orthodoxy of vertical-only. Loosening up to accept landscape videos too might nullify a differentiator, but also pipe in a flood of content it could then algorithmically curate to bootstrap IGTV’s library. Reducing the friction by allowing people to easily port content to or from elsewhere might make it feel like less of a gamble for creators deciding where to put their production resources. Instagram itself expanded from square-only to portrait and landscape photos in the feed in 2015.

My advice would be to make the videos horizontal. We’ve all come to understand vertical as ‘short form’ and horizontal as ‘long form,’” says Sayman. “It’s in the act of rotating your phone to landscape that you indicate to yourself and to your mobile device that you will not be context switching for the next few minutes, but rather intend to focus on one piece of content for an extended period of time.” This would at least give users more to watch, even if they ended up viewing landscape videos with their phones in portrait orientation.

This might be best as a last-ditch effort if it can’t get enough content flowing in through other means. But at least Instagram should offer a cropping tool that lets users manually select what vertical slice of a landscape video they want to show as they watch, rather than just grabbing the center or picking one area on the side for the whole clip. This could let creators repurpose landscape videos without things getting awkwardly half cut out of frame.

Former Facebook employee and social investor Josh Elman, who now works at Robinhood, told me he’s confident the company will experiment as much as necessary. “I think Facebook is relentless. They know that a ton of consumers watch video online. And most discover videos through influencers or their friends. (Or Netflix). Even though Watch and IGTV haven’t taken the world by storm yet, I bet Facebook won’t stop until they find the right mix.”

There’s a goldmine waiting if it does. Unlike on Facebook, there’s no Regram feature, you can’t post links, and outside of Explore you just see who you already follow on Instagram. That’s made it great at delivering friendly video and clips from your favorite stars, but leaves a gaping hole where serendipitous viewing could be. IGTV fills that gap. The hours people spend on Facebook watching random videos and their accompanying commercials have lifted the company to over $13 billion in revenue per quarter. Giving a younger audience a bottomless pit of full-screen video could produce the same behavior and profits on Instagram without polluting the feed, which can remain the purest manifestation of visual feed culture. But that’s only if IGTV can get enough content uploaded.

Puffed up by the success of besting its foe Snapchat, Instagram assumed it could take the long-form video world by storm. But the grand entrance at its debutante ball didn’t draw enough attention. Now it needs to take a different tack. Tone down the cross-promo for the moment. Concentrate on teaching creators how to find what works on the format and incentivizing them with cash and traffic. Develop some must-see IGTV and stoke a viral blockbuster. Prove the gravity of extended, personality-driven vertical video. Only then should it redirect traffic there from the feed, Stories, and Explore.

YouTube’s library wasn’t built overnight, and neither will IGTV’s. Facebook’s deep pockets and the success of Instagram’s other features give it the runway necessary to let IGTV take off. With 1 billion monthly users, and 400 million daily Stories users gathered in just two years, there are plenty of eyeballs waiting to be seduced. Systrom concludes, “Everything that is great starts small.” IGTV’s destiny will depend on Instagram’s patience.

Source: Mobile – Techcruch

Twitter company email addresses why it’s #BreakingMyTwitter

Twitter company email addresses why it’s #BreakingMyTwitter

It’s hard to be a fan of Twitter right now. The company is sticking up for conspiracy theorist Alex Jones, when nearly all other platforms have given him the boot, it’s overrun with bots, and now it’s breaking users’ favorite third-party Twitter clients like Tweetbot and Twitterific by shutting off APIs these apps relied on. Worse still, is that Twitter isn’t taking full responsibility for its decisions.

In a company email it shared today, Twitter cited “technical and business constraints” that it can no longer ignore as being the reason behind the APIs’ shutdown.

It said the clients relied on “legacy technology” that was still in a “beta state” after more than 9 years, and had to be killed “out of operational necessity.”

This reads like passing the buck. Big time.

It’s not as if there’s some other mysterious force that maintains Twitter’s API platform, and now poor ol’ Twitter is forced to shut down old technology because there’s simply no other recourse. No.

Twitter, in fact, is the one responsible for its User Streams and Site Streams APIs – the APIs that serve the core functions of these now deprecated third-party Twitter clients. Twitter is the reason these APIs have been stuck in a beta state for nearly a decade. Twitter is the one that decided not to invest in supporting those legacy APIs, or shift them over to its new API platform.

And Twitter is the one that decided to give up on some of its oldest and most avid fans – the power users and the developer community that met their needs – in hopes of shifting everyone over to its own first-party clients instead.

The company even dismissed how important these users and developers have been to its community over the years, by citing the fact that the APIs it’s terminating – the ones that power Tweetbot, Twitterrific, Tweetings and Talon – are only used by “less than 1%” of Twitter developers. Burn! 

Way to kick a guy when he’s already down, Twitter.

But just because a community is small in numbers, does not mean its voice is not powerful or its influence is not felt.

Hence, the #BreakingMyTwitter hashtag, which Twitter claims to be watching “quite often.”

The one where users are reminding Twitter CEO Jack Dorsey about that time he apologized to Twitter developers for not listening to them, and acknowledged the fact they made Twitter what it is today. The time when he promised to do better.

This is…not better:

The company’s email also says it hopes to eventually learn “why people hire 3rd party clients over our own apps.”

Its own apps?

Oh, you mean like TweetDeck, the app Twitter acquired then shut down on Android, iPhone and Windows? The one it generally acted like it forgot it owned? Or maybe you mean Twitter for Mac (previously Tweetie, before its acquisition), the app it shut down this year, telling Mac users to just use the web instead? Or maybe you mean the nearly full slate of TV apps that Twitter decided no longer needed to exist?

And Twitter wonders why users don’t want to use its own clients?

Perhaps, users want a consistent experience – one that doesn’t involve a million inconsequential product changes like turning stars to hearts or changing the character counter to a circle. Maybe they appreciate the fact that the third parties seem to understand what Twitter is better than Twitter itself does: Twitter has always been about a real-time stream of information. It’s not meant to be another Facebook-style algorithmic News Feed. The third-party clients respect that. Twitter does not.

Yesterday, the makers of Twitterific spoke to the API changes, noting that its app would no longer be able to stream tweets, send native push notifications, or be able to update its Today view, and that new tweets and DMs will be delayed.

It recommended users download Twitter’s official mobile app for notifications going forward.

In other words, while Twitterific will hang around in its broken state, its customers will now have to run two Twitter apps on their device – the official one to get their notifications, and the other because they prefer the experience.

A guide to using Twitter’s app for notifications, from Iconfactory

“We understand why Twitter feels the need to update its API endpoints,” explains Iconfactory co-founder Ged Maheux, whose company makes Twitterrific. “The spread of bots, spam and trolls by bad actors that exploit their systems is bad for the entire Twitterverse, we just wish they had offered an affordable way forward for the developers of smaller, third party apps like ours.”

“Apps like the Iconfactory’s Twitterrific helped build Twitter’s brand, feature sets and even its terminology into what it is today. Our contributions were small to be sure, but real nonetheless. To be priced out of the future of Twitter after all of our history together is a tough pill to swallow for all of us,” he added.

The question many users are now facing is what to do next?

Continue to use now broken third-party apps? Move to an open platform like Mastodon? Switch to Twitter’s own clients, as it wants, where it plans to “experiment with showing alternative viewpoints” to pop people’s echo chambers…on a service that refuses to kick out people like Alex Jones?

Or maybe it’s time to admit the open forum for everything that Twitter – and social media, really – has promised is failing? Maybe it’s time to close the apps – third-party and otherwise. Maybe it’s time to go dark. Get off the feeds. Take a break. Move on.

The full email from Twitter is below:

Hi team,

Today, we’re publishing a blog post about our priorities for where we’re investing today in Twitter client experiences. I wanted to share some more with you about how we reached these decisions, and how we’re thinking about 3rd party clients specifically.

First, some history:

3rd party clients have had a notable impact on the Twitter service and the products we build. Independent developers built the first Twitter client for Mac and the first native app for iPhone. These clients pioneered product features we all know and love about Twitter, like mute, the pull-to-refresh gesture, and more.

We love that developers build experiences on our APIs to push our service, technology, and the public conversation forward. We deeply respect the time, energy, and passion they’ve put into building amazing things using Twitter.

But we haven’t always done a good job of being straightforward with developers about the decisions we make regarding 3rd party clients. In 2011, we told developers (in an email) not to build apps that mimic the core Twitter experience. In 2012, we announced changes to our developer policies intended to make these limitations clearer by capping the number of users allowed for a 3rd party client. And, in the years following those announcements, we’ve told developers repeatedly that our roadmap for our APIs does not prioritize client use cases — even as we’ve continued to maintain a couple specific APIs used heavily by these clients and quietly granted user cap exceptions to the clients that needed them.

It is now time to make the hard decision to end support for these legacy APIs — acknowledging that some aspects of these apps would be degraded as a result. Today, we are facing technical and business constraints we can’t ignore. The User Streams and Site Streams APIs that serve core functions of many of these clients have been in a “beta” state for more than 9 years, and are built on a technology stack we no longer support. We’re not changing our rules, or setting out to “kill” 3rd party clients; but we are killing, out of operational necessity, some of the legacy APIs that power some features of those clients. And it has not been a realistic option for us today to invest in building a totally new service to replace these APIs, which are used by less than 1% of Twitter developers.

We’ve heard the feedback from our customers about the pain this causes. We check out #BreakingMyTwitter quite often and have spoken with many of the developers of major 3rd party clients to understand their needs and concerns. We’re committed to understanding why people hire 3rd party clients over our own apps. And we’re going to try to do better with communicating these changes honestly and clearly to developers. We have a lot of work to do. This change is a hard, but important step, towards doing it. Thank you for working with us to get there.

Thanks,

Rob

Source: Mobile – Techcruch

The greedy ways Apple got to $1 trillion

The greedy ways Apple got to trillion
For being the richest company ever with $243 billion in cash, Apple sure cuts corners in the stingiest ways. The hardware giant became the first trillion-dollar company week. Yet it’s tough to reconcile Apple earning $11 billion in profit per quarter with it still screwing us over on cords and keyboards. The “it just works” philosophy has slipped through the cracks of the money-printing machine. It’s not that Apple couldn’t afford to fix the problems, it’s just ensnared in hubris such that it doesn’t see them as important.
We still turn to Apple because it makes the best core products. But the edges of the customer experience have frayed like the wires of a Lightning cable. The key to Apple’s fortune is obviously selling high margin iPhones, not these ways it nickels and dimes us. But the company has an opportunity to raise its standards after this milestone, and win back the faith that could push it to a $2 trillion market cap.
1. Frayed Charging Cables
Apple gives you that tingly feeling in the worst way. Can it not build Lightning cables and MacBook chargers a little sturdier? If you avoid losing one long enough to put in some serious use, it inevitably ends up splittling where the cord meets your iPhone or exits the laptop power supply. Whether it’s wrapping them in electrical tape or the spring of a retractable pen, people have come up with all sorts of Macgyver methods to make their Apple chargers last. It got so bad that Apple was sued into offering a MacBook charger replacement program, but that expired years ago. If these are what allow us to play with the fancy devices it invents, shouldn’t they get the same quality of industrial design?
Image via Sophia Cannon
2. Buried iTunes Subscriptions Cancellation
Want to cancel your Apple Music subscription or some other service you got roped into with a free trial? It’s SUPER easy. First, click the totally unlabeled and generic circle with a blotch in it that’s supposed to be a profile picture icon. You should see a “Manage Subscriptions” option…but you don’t. Instead, you’ll have to know to tap “View Apple ID”. Once you auth in with the same face or thumbprint that opened your phone in the first place you’ll find the option to cut them off. And as thank you for this convenience, you’ll get to pay 30 percent extra on some subscriptions if you pay through Apple. It’s clearly exploitative dark pattern design.

3. Keyboard Claptrap
The MacBook keyboard is the on-ramp to the information superhighway, yet a single grain of sand can cause a pile up. Renowned Apple pundit John Gruber called it “one of the biggest design screwups in Apple history”. The new butterfly key design Apple rolled out in 2016 can get jammed by dust, requiring a lengthy disassembly process often requiring a professional to fix. Suddenly your work grinds to a halt. Apple wouldn’t always cover this repair, even under warranty. It took a lawsuit and tons of public backlash for Apple to offer free fixes, and that still typically leaves you without a laptop for a few days. I’m typing this article on a cracked-screen 2013 MacBook Pro because I refuse to upgrade until they make the keyboard design more resilient.

4. Killing Affiliate Fees Blogs Rely On
Apple benefits from a legion of blogs obsessing over its hardware and software, hyping up everything it sells. Just this week it returned that favor by announcing it will cut off one of their core sources of revenue. Websites would previously earn a 7 percent commission from Apple in exchange for affiliate link clicks leading to purchases on the App Store. But over the past few years, Apple has begun to sell ads inside the App Store too, competing for advertisers with those external blogs. It’s also built up its own editorial team that curates what’s featured, and apparently doesn’t want competition in being a king-maker. So in October Apple is shutting down the affiliate program that app review sites like TouchArcade and AppShopper depend on, potentially spelling their doom.

5. Dongle Hell
What’s the opposite of “it just works”? Paying extra to lug around a slew of gangly cord connectors you need just to plug things into your laptop or phone. Dongles are the emblem of Apple’s abandonment of the user experience. A Thunderbolt 2 to Thunderbolt 3 dongle runs $50 while it will cost you $9 to plug in any pair of headphones from the past half-century once you’ve inevitably lost the Lightning dongle you’re allocated. Apple loves pushing us towards its vision of tomorrow, like Bluetooth headphones (that it sells) and USB-C fast-chargers (that it sells). But ditching headphone jacks and old school USB ports makes Apple’s latest devices incompatible with sanity. Even its own commercial shows musician Grimes struggling with her dongles. Sorry you can’t pass me the aux cord. I’m from the future.
Image via Notebookcheck
[Featured Image via Instructibles]

Source: Gadgets – techcrunch

Newly legal 3D-printed gun blueprints targeted by state lawsuits

Newly legal 3D-printed gun blueprints targeted by state lawsuits
Hot on the heels of the effective legalization of 3D models used to print firearm components, 21 states have filed a joint lawsuit against the federal government, alleging not only that decision is dangerous but also that it’s illegal for a number of reasons. But the lawsuit may backfire via the so-called Streisand Effect, further entrenching the controversial technology.
Earlier this month brought the news that the U.S. government dropped its case against Cody Wilson and his companies dedicated to the proliferation of 3D models of firearm parts. There are still restrictions on how guns can be made and sold, but the files containing 3D data and allowing people to print components seem to have been determined not to fall under those rules.
This was unwelcome news for those in favor of stricter gun control laws, a group apparently including the attorneys general of 21 states. Bob Ferguson, AG for Washington, announced that his team would be leading a lawsuit intended to block the federal actions that legalized this particular form of data.

Court victory legalizes 3D-printable gun blueprints

“These downloadable guns are unregistered and very difficult to detect, even with metal detectors, and will be available to anyone regardless of age, mental health or criminal history. If the Trump Administration won’t keep us safe, we will,” he said in a press release issued today.
They allege that the administration needs the Defense Department to sign off on the decision, and that Congress needed to be notified 30 days in advance. The decision is also held (owing to a lack of on-record citations or consultations) to be “arbitrary and capricious,” and thus illegal under the Administrative Procedure Act.
The Tenth Amendment also gives states the right to regulate firearms, and the filers say that the federal action deprives them of this right and is therefore unconstitutional.
That’s all well in order, but the danger posed by these files is overestimated, as is the ability of the government, state or federal, to curtail their distribution. If this lawsuit is successful, it will have little or no effect on 3D printed guns at all.
“The status quo – which currently ensures public safety and national security by prohibiting publication of firearm design files on the Internet – should be maintained,” reads a letter sent from a number of AGs to Secretary of State Mike Pompeo and AG Jeff Sessions.
At the risk of dipping into an extremely charged debate and sensitive political topic (I’ve added the “Opinion” tag just in case), the status quo does no such thing. It must be said that if effective gun control is the goal, there are far more important steps to pursue. Loopholes abound in existing regulations, for instance gun show purchases of unregistered firearms and “80 percent lowers,” which are a quite legal method for creating them.
Furthermore, any attempt to remove something from the internet is doomed to failure, as we have seen again and again, often enough that the phenomenon has its own nickname, the Streisand Effect. Workarounds for illegal content are numerous and effective, and presumably the type of person interested in printing their own gun will not be shy about using a VPN or torrent site. If anything, a concerted effort to remove something from the internet usually causes that thing to be permanently maintained online as a sort of middle finger to the authorities. It’s not in the internet’s DNA to forget.
While it’s true that outlawing the 3D models would give prosecutors and investigators more to work with, the nefarious actors of the world haven’t been waiting with bated breath on the outcome of the previous lawsuit. Criminals, terrorists, foreign adversaries and so on in the first place don’t even need these files to obtain or create unregistered guns in the first place, nor would their being illegal deter them in the least.
The lawsuit may, it is true, tie up and possibly bankrupt Wilson and his supporters, but that’s not much of a victory and certainly doesn’t make anyone safer. Unfortunately this particular demon isn’t going back in the box.

Source: Gadgets – techcrunch

Why unskippable Stories ads could revive Facebook

Why unskippable Stories ads could revive Facebook

Prepare for the invasion of the unskippables. If the Stories social media slideshow format is the future of mobile TV, it’s going to end up with commercials. Users won’t love them. And done wrong they could pester people away from spending so much time watching what friends do day-to-day. But there’s no way Facebook and its family of apps will keep letting us fast-forward past Stories ads just a split-second after they appear on our screens.

We’re on the cusp of the shift to Stories. Facebook estimates that across social media apps, sharing to Stories will surpass sharing through feeds some time in 2019. One big reason is they don’t take a ton of thought to create. Hold up your phone, shoot a photo or short video and you’ve instantly got immersive, eye-catching, full-screen content. And you never had to think.

Facebook CPO Chris Cox at F8 2018 charts the rise of Stories that will see the format surpass feed sharing in 2019

Unlike text, which requires pre-meditated reflection that can be daunting to some, Stories are point and shoot. They don’t even require a caption. Sure, if you’re witty or artistic you can embellish them with all sorts of commentary and creativity. They can be a way to project your inner monologue over the outside world. But the base level of effort necessary to make a Story is arguably less than sharing a status update. That’s helped Stories rocket to more than 1.3 billion daily users across Facebook’s apps and Snapchat.

The problem, at least for Facebook, is that monetizing the News Feed with status-style ads was a lot more straightforward. Those ads, which have fueled Facebook’s ascent to earning $13 billion in revenue and $5 billion in profit per quarter, were ostensibly old-school banners. Text, tiny photo and a link. Advertisers have grown accustomed to them over 20 years of practice. Even small businesses on a tight budget could make these ads. And it at least took users a second to scroll past them — just long enough to make them occasionally effective at implanting a brand or tempting a click.

Stories, and Stories ads, are fundamentally different. They require big, tantalizing photos at a minimum, or preferably stylish video that lasts five to 15 seconds. That’s a huge upward creative leap for advertisers to make, particularly small businesses that’ll have trouble shooting that polished content themselves. Rather than displaying a splayed out preview of a link, users typically have to swipe up or tap a smaller section of a Story ad to click through.

And Stories are inherently skippable. Users have learned to rapidly tap to progress slide by slide through friends’ Stories, especially when racing through those with too many posts or that come from more distant acquaintances. People are quick with the trigger finger the moment they’re bored, especially if it’s with an ad.

A new type of ad blindness has emerged. Instead of our eyes glazing over as we scroll past, we stare intensely searching for the slightest hint that something isn’t worth our time and should be skipped. A brand name, “sponsored” label, stilted product shot or anything that looks asocial leads us to instantly tap past.

This is why Facebook COO Sheryl Sandberg scared the hell out of investors on the brutal earnings call when she admitted about Stories that, “The question is, will this monetize at the same rate as News Feed? And we honestly don’t know.” It’s a radically new format advertisers will need time to adopt and perfect. Facebook had spent the past year warning that revenue growth would decelerate as it ran out of News Feed ad inventory, but it’d never stressed the danger as what it was: Stories. That contributed to its record-breaking $120 billion share price drop.

The shift from News Feed ads to Stories ads will be a bigger transition than desktop ads to mobile ads for Facebook. Feed ads looked and worked identically, it was just the screen around them changing. Stories ads are an entirely new beast.

Stories ads are a bigger shift than web to mobile

There is one familiar format Stories ads are reminiscent of: television commercials. Before the age of TiVo and DVRs, you had to sit through the commercials to get your next hit of content. I believe the same will eventually be true for Stories, to the tune of billions in revenue for Facebook.

Snapchat is cornered by Facebook’s competition and desperate to avoid missing revenue estimates again. So this week, it rolled out unskippable vertical video ads it actually calls “Commercials” to 100 more advertisers, and they’ll soon be self-serve for buyers. Snap first debuted them in May, though the six-second promos are still only inserted into its longer-form multi-minute premium Shows, not user-generated Stories. A Snap spokesperson said they couldn’t comment on future plans. But I’d expect its stance will inevitably change. Friends’ Stories are interesting enough to compel people to watch through entire ads, so the platform could make us watch.

Snapchat is desperate, and that’s why it’s already working on unskippable ads. If Facebook’s apps like Instagram and WhatsApp were locked in heated battle with Snapchat, I think we’d see more brinkmanship here. Each would hope the other would show unskippable ads first so it could try to steal their pissed-off users.

But Facebook has largely vanquished Snapchat, which has seen user growth sink significantly. Snapchat has 191 million daily users, but Facebook Stories has 150 million, Messenger Stories has 70 million, Instagram Stories has 400 million and WhatsApp Stories (called Status) leads with 450 million. Most people’s friends around the world aren’t posting to Snapchat Stories, so Facebook doesn’t risk pushing users there with overly aggressive ads, except perhaps amongst U.S. teens.

Instagram’s three-slide Stories carousel ads

That’s why I expect we’ll quickly see Facebook start to test unskippable Stories ads. They’ll likely be heavily capped at first, to maybe one to three per day per user. Facebook took a similar approach to slowly rolling out auto-play video News Feed ads back in 2014. And Facebook’s apps will probably only show them after a friend’s story before your next pal’s, in-between rather than as dreaded pre-rolls. Instagram already offers carousel Stories ads with up to three slides instead of one, so users have to tap three times to blow past them.

An Instagram spokesperson told me they had “no plans to share right now” about unskippable ads, and a Facebook spokesperson said “We don’t have any plans to test unskippable stories ads on Facebook or Instagram.” But plans can change. A Snap spokesperson noted that unlike a full 30-second TV spot, Snapchat’s Commercials are up to six seconds, which matches an emerging industry trend for mobile video ads. Budweiser recently made some six-second online ads that it also ran on TV, showing the format’s reuseability that could speed up adoption. For brand advertisers not seeking an on-the-spot purchase, they need time to leave an impression.

By making some Stories ads unskippable, Facebook’s apps could charge more while making them more impactful for advertisers. It would also reduce the creative pressure on businesses because they won’t be forced to make that first split-second so flashy so people don’t fast-forward. Employing unskippable ads could also create an incentive for people to pay for a hypothetical ad-free Facebook Premium subscription in the future.

If Facebook makes the Stories ad format work, it has a bright future that contrasts with the doomsday vibes conjured by its share price plummet. Facebook has more than 5X more (duplicated) Stories users across its apps than its nearest competitor Snapchat. The social giant sees libraries full of Stories created each day waiting to be monetized.

Source: Mobile – Techcruch

Why Snapchat’s re-redesign will fail and how to fix it

Why Snapchat’s re-redesign will fail and how to fix it

Snap screwed it all up jumbling messages and Stories, banishing creators to Discover and wrecking auto-advance. Prideful of his gut instincts, Snap CEO Evan Spiegel refused to listen to the awful user reviews and declining usage. Now a YouGov study shows a 73 percent drop in user sentiment toward Snapchat, the app’s user count shrank in March and its share price is way down.

Yet the re-redesign Snapchat is finally rolling out today in response won’t fix the problems. The company still fails to understand that people want a predictable app that’s convenient to lay back and watch, and social media stars are more similar to you and me than they are to news outlets producing mobile magazine-style Discover content.

There’s a much better path for Snapchat, but it will require an ego adjustment and a bigger reversal of the changes — philosophy be damned.

Snapchat’s impression amongst US users fell off a cliff when the redesign was rolled out early this year

Here’s what Snapchat was, is becoming and should be.

The old Snapchat

Snapchat’s best design was in September 2016. It lacked sensible Stories sorting, and got some questionable changes before the big January 2018 redesign, but the fundamentals were there:

  • Left: Messages in reverse chronological order
  • Right: Stories from everyone in reverse chronological order with a carousel of ranked preview tiles in a carousel above or below Stories
  • Auto-Advance: Automatic and instant

 

The broken Snapchat

Snapchat’s big January 2018 redesign did two smart things. It added more obvious navigation buttons to ease in new and adult users. And it made the Stories list algorithmically sorted so you’d see your best friends first rather than just who posts most often, as TechCrunch recommended last April.

But it introduced a bunch of other problems, like pulling creators out of the Stories list, turning the inbox into chaos with ad-laden Stories and breaking auto-advance so you have to watch an annoying interstitial between each friend. Spiegel stubbornly refused to listen to the poor feedback, saying in February, “Even the complaints we’re seeing reinforce the philosophy. Even the frustrations we’re seeing really validate those changes. It’ll take time for people to adjust.” That quickly proved short-sighted.

  • Left: Messages and Stories from friends mixed together, sorted algorithmically
  • Right: Discover, sorted algorithmically, with influencers and people who don’t follow you back mixed in
  • Auto-Advance: Interstitial preview screens

The re-redesigned Snapchat

Users hated the redesign, initial reviews were mostly negative and Snapchat’s growth fell to its lowest rate ever. After some tests, today Snapchat tells us it’s rolling out the re-redesign to the majority of iOS users that’s a little less confusing. Yet it doesn’t address the core problems, plus makes the Discover screen more overwhelming:

  • Left: Messages sorted reverse chronologically
  • Right: Friends’ Stories at the top sorted algorithmically [Correction: Not chronologically], then subscriptions to creators sorted algorithmically, then Discover channels sorted algorithmically
  • Auto-Advance: Interstitial preview screens in Stories but not Subscriptions or For You

The right Snapchat

While the re-redesign makes Snapchat’s messaging inbox work like it used to, it overloads the Discover screen and leaves auto-advance broken out of a misguided hope of ensuring you never watch a frenemy or ex’s Story by accident and show up in their view counts. But that’s not worth ruining the laid-back viewing experience we’ve grown to love on Instagram Stories, and could be better solved with a mute button or just getting people to unfriend those they can’t be seen watching.

That’s why I recommend Snapchat move to a hybrid of all its designs:

  • Left: Messages sorted reverse chronologically
  • Right: Stories from all friends and creators, displayed as preview tiles, sorted algorithmically to preference close friends
  • Further Right: Discover, with preview tile sections for subscriptions, publishers and Our Stories/Maps/Events [This whole screen could be crammed into the Stories page if Snap insisted on just one screen on the right]
  • Auto-Advance: Traditional instant auto-advance without interstitials, plus a mute button to hide people

This design would make the inbox natural and uncluttered, ensure you see all your closest friends’ Stories, keep influencers from being buried in Discover, give publishers and Snapchat’s own content recommendations, including new creators, room to breathe and let you easily relax and watch a ton of Stories in a row.

Snapchat could have slowly iterated its way to this conclusion. It could have done extensive beta testing of each change to ensure it didn’t misstep. And perhaps facing an existential crisis from the exceedingly viable alternatives Instagram and WhatsApp, it should never have attempted a sweeping overhaul of its app’s identity. Twitter’s conservative approach to product updates looks wiser in retrospect. Instead, Snap is in decline.

Facebook’s family of apps have survived over the years by changing so gradually that they never shocked users into rebellion, or executing major redesigns when users had no comparable app to switch to. Snapchat calls itself a camera company, but it’s really a “cool” company — powered by the perception of its trendiness with American kids. But as ephemeral content proliferates and Stories become a ubiquitous standard soon to surpass feeds as the preferred way to share, they’ve gone from hip to utility. So if its features aren’t cool any more and are offered in a slicker way to a larger audience elsewhere, what is Snapchat anymore?

Source: Mobile – Techcruch

Facebook united

Facebook united

Facebook was a mess. The independence it dangled to close acquisition deals with Instagram and WhatsApp turned the company into a tangle of overlapping products. Every app had its own messaging and Stories options. Economies of scale were squandered. Top innovators led mature products already bursting at the seams with features while new opportunities went unseized.

Facebook was effectively drowning in its own success because the different arms couldn’t coordinate to paddle in the same direction.

But today Facebook announced its biggest reorganization ever, which could cut the redundancy, apply talent to fresh problems and unite the company under a common banner.

Putting the family first

Chris Cox, Facebook’s chief product officer, will fly that flag. He now oversees the “Facebook Family of Apps,” including Facebook, Messenger, Instagram and WhatsApp. Messenger’s VP of Product Stan Chudnovsky will take over as head of Messenger, replacing David Marcus, who’s moving to lead a new blockchain group at Facebook (more on that later).

Facebook’s head of News Feed Adam Mosseri is taking the Instagram VP of Product role, taking over for Kevin Weil, who’s going to Marcus’ project. Mosseri is replaced by Facebook VP of Product Management John Hegeman. Meanwhile, Facebook’s head of Internet.org Chris Daniels will take the lead role at WhatsApp, recently vacated by Jan Koum as he departed the corporation altogether.

Image via Recode

These changes could reduce the autonomy of Instagram and WhatsApp, at least in philosophy if not in formal hierarchy. That might make them less appealing places to work, after WhatsApp veterans like Nikesh Arora were passed over in favor of an installed Facebook exec. It could spook future acquisition candidates, who might see the reorganization as Facebook reneging on its promise of independence. And it could hinder the apps’ role as hedges against harm to Facebook’s core brand. Many users don’t realize they’re owned by Facebook, and therefore didn’t extend to them the backlash about recent privacy scandals.

But Facebook will gain the ability to execute a more coherent strategy. Mosseri, a long-time member of Mark Zuckerberg’s inner circle, will bring to Instagram his experience turning News Feed into one of the world’s most popular inventions as Instagram is hoping to ramp up monetization now that it’s achieved utter dominance over Snapchat in photo sharing. Few know the Facebook playbook better than Mosseri, who could help Instagram get out ahead of problems he’d been in the thick of, like fake news and declines in original sharing.

Daniels’ days connecting the developing world fits well at WhatsApp, whose users across the globe often deal with slow mobile networks. This also leaves room for new blood at Internet.org. It’s now connected 200 million people to some form of the internet, but its Free Basics app has been banned in several countries over net neutrality concerns and partners have pulled out over sustainability concerns. WhatsApp, too, is ready to monetize, having recently launched its WhatsApp for Business product, and Daniels’ background in biz dev and partnerships at Facebook around the IPO could serve him well.

Mark Zuckerberg discusses the Facebook family of apps at F8 2015

But more important than their siloed efforts is what a more unified family under Cox could accomplish. Over 2016 and 2017, all four apps launched isolated Stories products. While Instagram’s and WhatsApp’s took off, Facebook’s and Messenger’s felt absurdly redundant and underpopulated. It took until late 2017 for Facebook to realize it should synchronize Stories across Instagram, Facebook and Messenger so users could post once to their audiences everywhere.

The reorg could prevent Facebook from haphazardly tripping over itself in an attempt to seize on emerging trends. As visual communication becomes the new Facebook mandate, the company could similarly align its efforts in augmented reality, ephemeral and encrypted messaging and e-commence tools. Mosseri and Daniels can implement the Facebook strategy and shield their apps from the same old pitfalls. Instagram and WhatsApp have instituted themselves in their respective markets, and now have the leaders to make them well-oiled cogs in the Facebook machine.

Move fast and shake things up

Few hires have had the impact at Facebook of Marcus and Weil. The former president of PayPal, Marcus has brought Messenger from 200 million monthly users in 2014 to more than 1.3 billion now. He successfully managed the forced migration of users off Facebook’s chat feature to Messenger, laid the foundation for advertising and business tools and turned the app into a platform for games and useful utilities (beyond the initially half-baked bots).

Weil, formerly SVP of Product at Twitter, where changes came at molasses pace, turned Instagram into a rapid-fire launcher of new features. Most significantly, he implemented Zuckerberg and Instagram CEO Kevin Systrom’s plan to copy Snapchat’s Stories. Instagram was growing stale, showing just the occasional highlights of users’ lives. Instagram Stories solved that, and Weil grew it to more than 300 million daily users — much bigger than Snapchat’s whole 191 million user audience. Meanwhile, using Stories to spark conversation, Instagram Direct grew into one of the most popular messaging apps.

But today, Messenger and Instagram have begun to feel bloated. Marcus had to announce a plan to simplify the chat app at the start of 2018 after its version of Stories, called Messenger Day, steamrolled the rest of the product’s design. The camera, games and bots got as much space in the navigation bar as the core chat product. Last week Messenger revealed a redesign that refocuses on… messaging, giving the app a sensible roadmap. Instagram, now having effectively won the Stories war with Snapchat and having acclimated users to an algorithmic feed, left Weil without as many urgent changes to make.

If Facebook wasn’t careful, it could have lost these leaders to the CEO or COO role of a growing startup, or seen them leave to launch something of their own. Marcus had already taken a board seat at crypto giant Coinbase, while Weil took one at exercise community Strava.

Kevin Weil (Instagram) at TechCrunch Disrupt NY 2017

That’s why it was so wise to give Marcus the latitude to build a new team of fewer than a dozen, including Weil, focused on finding how Facebook could take advantage of the blockchain. It’s a massive, open new problem space in which to operate. One that needs visionaries in both product and business.

It’s unclear what they’ll build together, but there are plenty of opportunities.

They could explore payments facilitated by the blockchain’s lack of transaction fees. Messenger and Instagram both added native payment systems recently. Cutting out the credit card companies could be a lucrative shot for Facebook. And micropayments could open new ways to tip creators or compensate news outlets. Cloud storage based on blockchains could help Facebook cut its massive server bills. And the decentralized nature of the blockchain might unlock new paradigms for social networking with increased autonomy that might threaten Facebook if invented elsewhere.

Perhaps they’ll conclude Facebook doesn’t need the blockchain. That’s fine. The risk would be leaving the space unmined and ripe for someone else’s taking.

Facebook has lasted this long by identifying new threats of disruption, and thwarting them with its build, buy or copy strategy. Streams like FriendFeed and Twitter? Facebook built News Feed. Photos and chat? Facebook bought Instagram and WhatsApp. Ephemeral content? Facebook copied Snapchat.

The reorganization recognizes how Facebook had become a danger to itself — disruption through internal redundancy and wasted chances. It saw the discombobulated wings of Google lead it to massive failure in messaging, with a half-dozen chat apps all competing while confusing users. And it saw how internet giants like Microsoft and Apple ignored social because it was outside their wheelhouse, only to end up sharing the titan’s table with Facebook.

Zuckerberg loves to say the journey is 1 percent finished. Today Facebook proved it’s always looking for a new finish line.

Source: Mobile – Techcruch

The real threat to Facebook is the Kool-Aid turning sour

The real threat to Facebook is the Kool-Aid turning sour

These kinds of leaks didn’t happen when I started reporting on Facebook eight years ago. It was a tight-knit cult convinced of its mission to connect everyone, but with the discipline of a military unit where everyone knew loose lips sink ships. Motivational posters with bold corporate slogans dotted its offices, rallying the troops. Employees were happy to be evangelists.

But then came the fake news, News Feed addiction, violence on Facebook Live, cyberbullying, abusive ad targeting, election interference and, most recently, the Cambridge Analytica app data privacy scandals. All the while, Facebook either willfully believed the worst case scenarios could never come true, was naive to their existence or calculated the benefits and growth outweighed the risks. And when finally confronted, Facebook often dragged its feet before admitting the extent of the issues.

Inside the social network’s offices, the bonds began to fray. An ethics problem metastisized into a morale problem. Slogans took on sinister second meanings. The Kool-Aid tasted different.

Some hoped they could right the ship but couldn’t. Some craved the influence and intellectual thrill of running one of humanity’s most popular inventions, but now question if that influence and their work is positive. Others surely just wanted to collect salaries, stock and resumé highlights, but lost the stomach for it.

Now the convergence of scandals has come to a head in the form of constant leaks.

The trouble tipping point

The more benign leaks merely cost Facebook a bit of competitive advantage. We’ve learned it’s building a smart speaker, a standalone VR headset and a Houseparty split-screen video chat clone.

Yet policy-focused leaks have exacerbated the backlash against Facebook, putting more pressure on the conscience of employees. As blame fell to Facebook for Trump’s election, word of Facebook prototyping a censorship tool for operating in China escaped, triggering questions about its respect for human rights and free speech. Facebook’s content rulebook got out alongside disturbing tales of the filth the company’s contracted moderators have to sift through. Its ad targeting was revealed to be able to pinpoint emotionally vulnerable teens.

In recent weeks, the leaks have accelerated to a maddening pace in the wake of Facebook’s soggy apologies regarding the Cambridge Analytica debacle. Its weak policy enforcement left the door open to exploitation of data users gave third-party apps, deepening the perception that Facebook doesn’t care about privacy.

Image courtesy of Buzzfeed

And it all culminated with BuzzFeed publishing a leaked “growth at all costs” internal post from Facebook VP Andrew “Boz” Bosworth that substantiated people’s worst fears about the company’s disregard for user safety in pursuit of world domination. Even the ensuing internal discussion about the damage caused by leaks and how to prevent them…leaked.

But the leaks are not the disease, just the symptom. Sunken morale is the cause, and it’s dragging down the company. Former Facebook employee and Wired writer Antonio Garcia Martinez sums it up, saying this kind of vindictive, intentionally destructive leak fills Facebook’s leadership with “horror”:

And that sentiment was confirmed by Facebook’s VP of News Feed Adam Mosseri, who tweeted that leaks “create strong incentives to be less transparent internally and they certainly slow us down,” and will make it tougher to deal with the big problems.

Those thoughts weigh heavy on Facebook’s team. A source close to several Facebook executives tells us they feel “embarrassed to work there” and are increasingly open to other job opportunities. One current employee told us to assume anything certain execs tell the media is “100% false.”

If Facebook can’t internally discuss the problems it faces without being exposed, how can it solve them?

Implosion

The consequences of Facebook’s failures are typically pegged as external hazards.

You might assume the government will finally step in and regulate Facebook. But the Honest Ads Act and other rules about ads transparency and data privacy could end up protecting Facebook by being simply a paperwork speed bump for it while making it tough for competitors to build a rival database of personal info. In our corporation-loving society, it seems unlikely that the administration would go so far as to split up Facebook, Instagram and WhatsApp — one of the few feasible ways to limit the company’s power.

Users have watched Facebook make misstep after misstep over the years, but can’t help but stay glued to its feed. Even those who don’t scroll rely on it as a fundamental utility for messaging and login on other sites. Privacy and transparency are too abstract for most people to care about. Hence, first-time Facebook downloads held steady and its App Store rank actually rose in the week after the Cambridge Analytica fiasco broke. In regards to the #DeleteFacebook movement, Mark Zuckerberg himself said “I don’t think we’ve seen a meaningful number of people act on that.” And as long as they’re browsing, advertisers will keep paying Facebook to reach them.

That’s why the greatest threat of the scandal convergence comes from inside. The leaks are the canary in the noxious blue coal mine.

Can Facebook survive slowing down?

If employees wake up each day unsure whether Facebook’s mission is actually harming the world, they won’t stay. Facebook doesn’t have the same internal work culture problems as some giants like Uber. But there are plenty of other tech companies with less questionable impacts. Some are still private and offer the chance to win big on an IPO or acquisition. At the very least, those in the Bay could find somewhere to work without a spending hours a day on the traffic-snarled 101 freeway.

If they do stay, they won’t work as hard. It’s tough to build if you think you’re building a weapon. Especially if you thought you were going to be making helpful tools. The melancholy and malaise set in. People go into rest-and-vest mode, living out their days at Facebook as a sentence not an opportunity. The next killer product Facebook needs a year or two from now might never coalesce.

And if they do work hard, a culture of anxiety and paralysis will work against them. No one wants to code with their hands tied, and some would prefer a less scrutinized environment. Every decision will require endless philosophizing and risk-reduction. Product changes will be reduced to the lowest common denominator, designed not to offend or appear too tyrannical.

Source: Volkan Furuncu/Anadolu Agency + David Ramos/Getty Images

In fact, that’s partly how Facebook got into this whole mess. A leak by an anonymous former contractor led Gizmodo to report Facebook was suppressing conservative news in its Trending section. Terrified of appearing liberally biased, Facebook reportedly hesitated to take decisive action against fake news. That hands-off approach led to the post-election criticism that degraded morale and pushed the growing snowball of leaks down the mountain.

It’s still rolling.

How to stop morale’s downward momentum will be one of Facebook’s greatest tests of leadership. This isn’t a bug to be squashed. It can’t just roll back a feature update. And an apology won’t suffice. It will have to expel or reeducate the leakers and those disloyal without instilling a witch hunt’s sense of dread. Compensation may have to jump upwards to keep talent aboard like Twitter did when it was floundering. Its top brass will need to show candor and accountability without fueling more indiscretion. And it may need to make a shocking, landmark act of contrition to convince employees its capable of change.

When asked how Facebook could address the morale problem, Mosseri told me “it starts with owning our mistakes and being very clear about what we’re doing now” and noted that “it took a while to get into this place and I think it’ll take a while to work our way out . . . Trust is lost quickly, and takes a long time to rebuild.”

This isn’t about whether Facebook will disappear tomorrow, but whether it will remain unconquerable for the forseeable future.

Growth has been the driving mantra for Facebook since its inception. No matter how employees are evaluated, it’s still the underlying ethos. Facebook has poised itself as a mission-driven company. The implication was always that connecting people is good so connecting more people is better. The only question was how to grow faster.

Now Zuckerberg will have to figure out how to get Facebook to cautiously foresee the consequences of what it says and does while remaining an appealing place to work. “Move slow and think things through” just doesn’t have the same ring to it.

If you’re a Facebook employee or anyone else that has information to share with TechCrunch, you can contact us at [email protected] or this article’s author Josh Constine’s DMs are open on Twitter. Here are some of our feature stories on Facebook’s recent issues:

 

Source: Mobile – Techcruch