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Ad Network in the Cards for Facebook Connect?

Sources Say it

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Facebook is "definitely" going to build an ad network for Facebook Connect that would allow users to sign-in to participating sites using their Facebook accounts, a source "familiar with Facebook’s long-term strategy" told Silicon Alley Insider.

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Apparently there aren’t any plans to create such a network in the near future, but it will come eventually.

"Internal tests have shown Facebook isn’t yet capable of paying publishers higher ad rates than they can get with ad networks already on the market, despite Facebook’s wealth of demographic data," says SIA’s Nicholas Carlson. "Because of that, Facebook executives aren’t yet prepared to promise publishers the large guarantees it would take to win their business."

Earlier this week, amid rumors that Facebook was begging for funding, Chief Operating Officer Sheryl Sandberg told Bloomberg that was not the case. "We could not be doing better financially," Sandberg is quoted as saying. "We absolutely do not need to take money. We might take money — but it doesn’t mean we need to." She also said Facebook’s confidence for ad sales grows with each week.

User loyalty should be trending upwards as well now that Facebook has opened up to third-party developers. This will spawn a limitless amount of applications drawing new users in and keeping old users around, a problem that despite its rapid growth, has been an issue for rival Twitter.

Ad Network in the Cards for Facebook Connect?
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  • Guest

    Great article~ thanks for sharing.

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