Facebook Is Too Rich And Too Famous For News Publishers To Ignore

Motek Moyen profile picture
Motek Moyen


  • The news media companies should accept Facebook’s offer of hosting their content.
  • The 1.3 billion-plus user base of Facebook is a very rich monetization avenue for news sites.
  • Advertising-driven news dissemination is more viable than paid-subscription. Majority of people still do not want to pay for digital news.

I believe that the Facebook (FB) brand is too rich and famous for news media to ignore. While media companies like the New York Times (NYT) and CNN have established a strong online presence, none of them could monetize online news as smartly as Facebook could. Zuckerberg believes he can monetize news-related content on Facebook and media companies should trust him.

The sheer number of Facebook's daily active users already make the social network potentially the biggest newspaper on the planet. Yes, there is the fear that CNN or New York Times would lose much of their online audience when Facebook starts hosting news articles instead of referral links. However, Zuckerberg will still share advertising revenues with media companies for the content they will host on Facebook's website.

It is the next step of evolution that news sites would have to be colonies of Facebook's empire. Social networks now drive 31% of referral traffic to sites (including news-centric sites). The Shareaholic charts below says Facebook is the runaway Emperor of referral traffic.

My point is that Facebook has lots of users that are very interested in reading or watching the news. The issue now is that Zuckerberg wants to lessen the number of clicks that users will need to make to get their daily dose of news.

Displeasing the new emperor might prove catastrophic for news content sites. Even the mighty nytimes.com (which has a healthy number of paying subscribers) gets 23.26% of its traffic from social referrals. Facebook is again the top social network referral traffic provider for New York Times.

Source: SimilarWeb

Why Facebook Is Good For News Sites

The news sites that have benefited from Facebook's mighty referral traffic might not be maximizing the monetization potential of their digital content hosted on their sites. My opinion is from

This article was written by

Motek Moyen profile picture
Motek Moyen is a financial analyst, technician, and Adobe multimedia content creator. He studied Mathematics, Commercial Advertising, and Computer Science in the 1990s. He does not trade stocks.

Disclosure: The author is long FB. The author wrote this article themselves, and it expresses their own opinions. The author is not receiving compensation for it (other than from Seeking Alpha). The author has no business relationship with any company whose stock is mentioned in this article.

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