Analysis of Facebook Related to COVID-19

Abstract

Digital advertising, including display advertising and search advertising, is a very important part of Internet social media companies. The global outbreak of Covid-19 hit this space, causing digital advertising to grow exponentially. Advertisers are spending more on social media with the average price of Facebook ad spots up 30% from the previous year. As a result, in the long run, Facebook has more than 9 million advertising partners, and small and medium-sized advertisers are its main source of revenue. Meta's core business appears to be experiencing declining user adoption and struggling revenue, as well as inflation and supply bottlenecks disrupting advertisers' budgets. Apple became the first Internet technology company to change course on protecting user privacy, and Facebook's monthly active users, at 2.91 billion in the fourth quarter, did not grow, dropping to below 5% year-over-year growth, according to its fourth-quarter 2021 earnings report. The new privacy policy has become a negative influence for all Internet technology companies and advertisers.