Facebook (FB) Running Ads on Zynga’s Site; Hires Apple’s UI Design Manager
In the latest attempt to streamline revenue inflow, social media player Facebook Inc. (NASDAQ:FB) silently began running ads on its old gaming friend, Zynga.com (NASDAQ:ZNGA) on Friday. The ads look similar to Facebook ads with the identical social context, and both the firms are sharing the ad revenue.
It might not look like a huge deal, but in fact it is worth more than ordinary startup deals.
For the first time, Facebook has published ads somewhere other than its own site. It’s a huge first step towards the initiation of an ad network, where they could provide ads to websites throughout the web.
A sophisticated network of ads would be an important new revenue flow for Facebook, particularly considering the possibility to directly target web surfers with appropriate ads within the social context. Most importantly it would include Facebook in an open rivalry with Google and other firms like Microsoft , which launch ads throughout the web.
Remarks from Facebook
The social networking site with over 900 million users would not articulate on whether it intends to release a separate ad network, but it definitely has kept the door open. Just last month Facebook shed light on its privacy policies to include the fact that it can serve member ads that focus on users founded on their private data, outside of Facebook.com.
Facebook did give a few remarks regarding its new ad development: Facebook ads and sponsored stories might now be publicized on Zynga and they do not share any data regarding people or promoters with Zynga.
Innovation and Facebook
Facebook, Inc. (NASDAQ:FB) has pumped up its efforts towards the latest, innovative products by hiring former Apple Inc. UI design manager, Chris Weeldreyer, as its product manager. This shocks many since nobody was aware of an opening in the position, making it look like a poacher’s game. This shows that Facebook might be hoping to benefit from Weeldreyer’s expertise.
Weekly Stock Activity
On Friday, Facebook Inc. (NASDAQ:FB) ended up with a positive change of +3.80% to settle at $33.05 while the stock was in black for the week with +10.12% change.