We have all witnessed massive disruption within the media industry throughout the past decade. While some people may have benefited from the disruption, it was no easy game for the majority. Nonetheless, the impending power shifts towards social various platforms the likes of Facebook Inc (NASDAQ:FB) is expected to bring forth long-term changes and for the better.
For a very long time, traditional media entities have had control over information flow. While they may still have that control somewhat, they do not have the same power anymore and especially in the area of distribution. Many businesses have shifted this to Facebook as a result of its media influence.
Is the taking over of traditional publishing roles by Facebook a threat to future journalism?
Facebook and other platforms the likes of Alphabet Inc (NASDAQ:GOOGL) Google and Snapchat have a huge following of audiences. Facebook alone has a user base of 1.8 billion people. That means the media companies looking out for larger audiences have to play their game at a higher scale to win them.
The question is what is the future of journalism with all these platforms? A report from the Tow Center for Digital Journalism at Columbia University states, “These companies have evolved beyond their role as distribution channels, and now control what audiences see and who gets paid for their attention, and even what format and type of journalism flourishes.”
Apparently, the traditional media companies are not getting as much attention from investors thanks to technology.
But it is not about the size of the platform. It’s about the news feed algorithm
The Tow Center report notes that the algorithm determines what content users get to see. The publishers are free to post anything on Facebook but the editorial instrument chooses what reaches the readers. That means the media entity just plays the role of content supplier while Facebook becomes solely responsible for the delivery.
At some point, Facebook is also taking up the involvement of content creation given its pressure on media companies to produce more video. Given that the unfolding trend is somewhat inescapable, it remains to be seen what kind of relationship will develop between these media organization and the powerful platforms.
In the meantime, Facebook’s stock was trading at $142.05 a fall of $0.36 or 0.25%