A few years ago, Facebook Inc (NASDAQ:FB) announced its ads exchange program with a lot of hopes. Ads business is one of the top priorities of Facebook Inc (NASDAQ:FB) and the company has clearly achieved massive milestones within a very less time. Facebook’s ads exchange program was labeled ‘FBX’. A lot of advertisers and tech companies invested in it and it was said that Facebook Inc (NASDAQ:FB)’s ads exchange program will sweat Google. But FBX depicted enigmatic decline. Nothing happened much about this platform and recently, the Facebook Inc (NASDAQ:FB) even started axing companies which were using FBX.
An article on Business Insider said that Facebook Inc (NASDAQ:FB)’s FBX ads platform can now easily be said as a failed platform. The company is now telling the advertisers who were using FBX to switch to other platforms. The source quoted a company called Rocket Fuel, which has been axed by Facebook Inc (NASDAQ:FB). The company says that it has no idea what is going on with FBX.
The source said that Facebook Inc (NASDAQ:FB) planned to get $2 billion annual revenue from this retargeting ads platform. This platform works on web cookies. When a user searches anything on the internet, the search information is saved in cookies, read by Facebook Inc (NASDAQ:FB) and targeted ads related to the searched item are shown on Facebook Inc (NASDAQ:FB). The idea was good as Google has gained billions of dollars from retargeting, but Facebook Inc (NASDAQ:FB) failed pretty badly.
The source mentioned that advertisers are not happy on death of Facebook Inc (NASDAQ:FB)’s FBX because retargeting helps getting specific users whereas general ads only target categories.
Ken Griffin holds 4.58 million shares worth $307.87 million of Facebook Inc. (NASDAQ:FB).