Facebook makes R50 billion profit

– Facebook on Wednesday reported a big jump in profits even though people are spending less time on the world’s biggest social network.

The company said its priority is to encourage personal interaction among users, rather than simply boost the number of hours they spend on Facebook.

Co-founder Mark Zuckerberg said changes enacted by Facebook cut time spent on the site by some 50 million hours per day. But chief operating officer, Sheryl Sand- berg, said having users engage more with friends’ posts could lead to further financial opportunities for the company.

“Helping people connect is more important than maximising the time they spend on Facebook,” Zuckerberg said during an earnings call. “We can make sure the service is good for people’s wellbeing and for society overall.”

He said that in the last couple of years, content from viral videos or posts by businesses have grown to a point where it is “crowding out the connections people value most”.

Facebook is giving posts from friends and family priority over content that is not as likely to engender genuine personal interactions, according to Zuckerberg. “We made changes to show fewer viral videos to make sure people’s time is well spent,” he added.

Facebook said profit in the final three months of 2017 climbed 20% to $4.26 billion (R51.12 billion) as ad revenue and ranks of members grew. – AFP