Facebook Inc (NASDAQ:FB) are Twitter Inc (NYSE:TWTR) are heavily focusing on the importance of videos. An article on CNA Finance mentioned that 4 billion videos are being watched on social media platforms like Facebook Inc (NASDAQ:FB) and Twitter Inc (NYSE:TWTR) daily. This could be scaled up big in terms of advertising. Facebook and Twitter are also interested in launching video ads.
Facebook Inc (NASDAQ:FB) and Twitter could use video das to dramatically increase their ads revenue. The source said that video ads cost around 10 times more than normal ads. But at the same time, they are more result oriented, as people like to click them and watch them. Facebook Inc (NASDAQ:FB) and Twitter Inc (NYSE:TWTR) could charge more dollars on each video ad.
Last year, Facebook Inc (NASDAQ:FB) openly shared that it will start focusing more on video ads. It also invited the companies to advertise using its video ads. The source said that many famous companies are now using Facebook video ads. Facebook Inc (NASDAQ:FB) has a clear advantage over Twitter, which has been facing a lot of management and product curve issues. Twitter Inc (NYSE:TWTR) is also not much frank about its plans regarding video ads; but it is trying and testing them for sure.
The source also said that Twitter Inc (NYSE:TWTR) will have to go an extra mile in the ads industry. This is because it is facing a big issue of low user growth. Facebook Inc (NASDAQ:FB), on the other hand, has plenty of options to play with. It has a firm mobile grasp; it has Instagram and other mobile apps to monetize.
Ken Griffin holds 4.58 million shares worth $307.87 million of Facebook Inc. (NASDAQ:FB).
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