David Bridges
Currently, Meta is actively engaged in defending itself against an FTC antitrust lawsuit that has prompted extensive questioning of CEO Mark Zuckerberg in federal court. This case primarily revolves around the company’s acquisitions of Instagram and WhatsApp, scrutinizing the strategic motivations behind acquiring potentially competing applications.
Much of the information revealed during these proceedings reiterates what has been publicly known: Meta acquired Instagram to capitalize on its growth potential; the company attempted to purchase Snapchat in both 2013 and 2016; and the rise of TikTok poses a significant challenge to Meta’s overall business strategy.
This discourse has been part of public conversations for quite some time, making it challenging to envision how the FTC can convincingly argue that Meta holds a monopoly in the social media and broader digital marketing landscape, especially when considering the vast scope of its key competitors.
Nevertheless, some noteworthy insights have emerged that align with broader trends, shedding light on the current trajectory of Meta’s business performance.
For instance, Zuckerberg acknowledged that Facebook is experiencing a decline in user engagement compared to other applications regarding the amount of time users dedicate to the platform.
As highlighted by The Information:
“According to Mark Zuckerberg, the share of time spent by users on Facebook and Instagram has significantly decreased, indicating that “a substantial portion of interactions among friends has transitioned to messaging apps.”
This shift toward messaging isn’t a recent development, as we’ve extensively covered the broader transition to messaging platforms.
However, Zuckerberg’s acknowledgment of the diminishing time spent on Facebook and Instagram is a notable point, particularly because Meta has generally avoided discussing this aspect of user engagement.
Previously, Meta frequently provided updates on user engagement metrics, revealing that as of 2016, users averaged more than 50 minutes per day interacting with Facebook, Instagram, and Messenger.
However, after that announcement, Meta ceased reporting such statistics, which could imply that user engagement has not significantly increased since then.
Despite this decline in reported engagement, it doesn’t imply that Facebook and Instagram lack popularity; both platforms boast billions of users. However, over time, anecdotal evidence and various external studies indicate a downward trend in the amount of time users spend on each app, while TikTok continues to gain traction.
Earlier this year, a report from Guggenheim Partners, utilizing data from Apptopia, revealed that American TikTok users now spend an average of 108 minutes per day on the platform, while Facebook users engage for an average of 63 minutes per day, and Instagram users have seen their average time drop to 48 minutes.
While these figures still appear considerable given the number of users across these platforms, it’s essential to recognize that they encompass a wide array of user behaviors, from those who merely log in to check notifications to others who might spend hours scrolling through content. This comparative analysis suggests that individuals are now dedicating nearly twice the amount of time to scrolling through TikTok compared to Facebook.
This trend persists, even after Facebook experienced increased usage in recent years by integrating more AI-driven Reels into users’ feeds, aiming to enhance engagement.
While Meta has refrained from disclosing specific user engagement statistics, it’s intriguing to note Zuckerberg’s acknowledgment that both Facebook and Instagram have experienced “meaningful” declines in overall user engagement.
Another noteworthy point from Zuckerberg’s testimony is his previous suggestion to eliminate all users’ social graphs to rejuvenate Facebook‘s engagement.
This proposal holds merit. Over time, users’ social graphs have become cluttered due to the multitude of brand pages followed and friend requests accepted, leading to a diluted relevance of notifications.
A refresh of the social graph could enhance the relevance of notifications and improve the platform’s algorithms, contributing to a more engaging user experience moving forward.
While Meta ultimately decided against this approach, with Zuckerberg recently hinting at a return to the “OG Facebook” experience, it raises the question of whether revisiting this idea might be worthwhile.
As mentioned, the FTC’s case against Meta is currently underway in federal court and may last up to two months. Based on the evidence publicly available thus far, it appears unlikely that the outcome will be unfavorable for Meta, potentially preventing the company from having to divest Instagram and WhatsApp.
Cameron Steel
Tessa Everly
