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Facebook Reportedly Testing New Video Feature on Messenger
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Facebook is testing “Watch Videos Together” — a co-viewing video feature — for its Messenger platform, per Techcrunch.
First identified by developer Ananay Arora, in the Messenger code, this latest feature allows users to invite friends for watching videos together over a group chat on their individual devices. Everyone in the chat can control the videos and simultaneously discuss about the same while it is playing.
Many start-ups and even Alphabet’s (GOOGL - Free Report) YouTube did not see success to make co-viewing video work, per Variety. However, internationally, Facebook has successfully rolled out its video streaming service — Watch — after its initial launch in the United States.
Notably, more than 50 million users co-viewed videos for at least one minute a month on Watch over there. Moreover, the total time spent by a user on watching videos on Facebook has increased 14 times since the beginning of this year.
These apart, Facebook has been successful in introducing content that will keep users glued to the platform. In this regard, it is imperative to mention that the company inked deals with the likes of Major League Baseball (MLB) to stream 25 games on Watch this season, and Fox News and CNN to launch news shows.
Currently, the company is making efforts to generate additional ad revenue (98.6% of total revenues in third-quarter 2018) instead of just relying on feed ads on Facebook and Instagram, which drive the majority of its revenues.
In the last reported quarter, Facebook introduced “a way for advertisers to buy video placements from a selection of the most engaging publishers, choose specific content categories they want their ads to play alongside and pay only for ads that are watched till the end.”
Prevailing Competition
Facebook definitely has big plans with Watch. The company plans to spend up to $2 billion to create and produce content. However, Facebook peers are also investing aggressively on developing online content.
In 2018, Netflix (NFLX - Free Report) is expected to spend $13 billion only on original content. Amazon too is not lagging on this front. The company intends to spend more than $5 billion for its streaming service offering — Prime.
Moreover, entry from big names such as Apple (AAPL - Free Report) , Disney (DIS - Free Report) , Walmart and AT & T among others is expected to raise investments in content. This is because all these companies are increasingly trying to attract users through award winning content and actors.
Despite all these headwinds, increase in time spent by users to watch videos and Facebook’s efforts to bring in content that will keep the users further engaged with this platform is encouraging. Also, the company’s huge user base (2.6 billion) can definitely help it tap the growing streaming market.
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With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.
Image: Bigstock
Facebook Reportedly Testing New Video Feature on Messenger
Facebook is testing “Watch Videos Together” — a co-viewing video feature — for its Messenger platform, per Techcrunch.
First identified by developer Ananay Arora, in the Messenger code, this latest feature allows users to invite friends for watching videos together over a group chat on their individual devices. Everyone in the chat can control the videos and simultaneously discuss about the same while it is playing.
Facebook, Inc. Revenue (TTM)
Facebook, Inc. Revenue (TTM) | Facebook, Inc. Quote
Co-viewing of Videos to Boost Ad Dollars
Many start-ups and even Alphabet’s (GOOGL - Free Report) YouTube did not see success to make co-viewing video work, per Variety. However, internationally, Facebook has successfully rolled out its video streaming service — Watch — after its initial launch in the United States.
Notably, more than 50 million users co-viewed videos for at least one minute a month on Watch over there. Moreover, the total time spent by a user on watching videos on Facebook has increased 14 times since the beginning of this year.
These apart, Facebook has been successful in introducing content that will keep users glued to the platform. In this regard, it is imperative to mention that the company inked deals with the likes of Major League Baseball (MLB) to stream 25 games on Watch this season, and Fox News and CNN to launch news shows.
Currently, the company is making efforts to generate additional ad revenue (98.6% of total revenues in third-quarter 2018) instead of just relying on feed ads on Facebook and Instagram, which drive the majority of its revenues.
In the last reported quarter, Facebook introduced “a way for advertisers to buy video placements from a selection of the most engaging publishers, choose specific content categories they want their ads to play alongside and pay only for ads that are watched till the end.”
Prevailing Competition
Facebook definitely has big plans with Watch. The company plans to spend up to $2 billion to create and produce content. However, Facebook peers are also investing aggressively on developing online content.
In 2018, Netflix (NFLX - Free Report) is expected to spend $13 billion only on original content. Amazon too is not lagging on this front. The company intends to spend more than $5 billion for its streaming service offering — Prime.
Moreover, entry from big names such as Apple (AAPL - Free Report) , Disney (DIS - Free Report) , Walmart and AT & T among others is expected to raise investments in content. This is because all these companies are increasingly trying to attract users through award winning content and actors.
Despite all these headwinds, increase in time spent by users to watch videos and Facebook’s efforts to bring in content that will keep the users further engaged with this platform is encouraging. Also, the company’s huge user base (2.6 billion) can definitely help it tap the growing streaming market.
Facebook currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.
Will You Make a Fortune on the Shift to Electric Cars?
Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.
With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.
It's not the one you think.
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