Thursday, November 5, 2015

Videos on Facebook, does the ‘kryptonite’ for television? – FORTUNE

NEW YORK (Reuters) – Time Warner must not only worry about Netflix and Hulu, as in the strong quarterly results reported Wednesday that Facebook came a figure that He shook the cable industry and television.

The network-whose shares rose 5% on Thursday and touched a record high of 109.44 dollars said the views of his videos advanced to 8.000 million per day in the third quarter, up from just 1,000 million in the same period last year.

This highlights the threat to advertising revenues for television.

The growth in video views an opportunity to more significant short term to Facebook, you want to capture a larger share of the market for television advertising, analysts said.

In particular, cable companies face a growing threat in income to the extent that consumers are passed transmission services for Internet content like Netflix and Hulu.

“We think (Facebook) looks well positioned to capture an increasing share of TV advertising budgets to the extent that markets advertising campaigns migrate to highly targeted video for Internet and data-driven” He wrote Brian Pitz, an analyst at Jefferies, in a note to clients.

Pitz said it expects the market for online video advertising reaches a value close to 17,000 million dollars a year by 2017 in the United States.

Time Warner Inc., operator of cable channels TNT and TBS Cartoon Network, said Wednesday that the main ratings for entertainment in the United States fell more than expected, resulting in a fall in advertising revenue next year.

In September, Facebook said it had 2.5 million active advertisers, a jump of 25% over February and social network said Wednesday that September 30 had 1.550 million active monthly users , up 14% over the same period last year.

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