Also in this playlist...
This transcript is automatically generated
-- -- watching these markets so carefully.
But when you pick apart individual stories the one that has captured the attention of this nation today in very big way.
Is the FaceBook instead -- story what started as a one billion dollar investment that had dollar signs dancing in FaceBook -- Is turning blurry after a massive PR misstep which has caused a near revolt and -- photo sharing competitors glittery died.
What to help us deliver interest in paid or sponsored -- promotions you agree.
That a business or other entity may pay us to display your username likeness photos in connection with paid or -- content or promotions.
With out any compensation to you.
-- to -- sending users running.
Did FaceBook revenue baby just blow it some investors may be wondering FaceBook shares are -- reversing today they have been up they are now down at.
About 23 cents on the session joining us now -- -- Fox Business exclusive from Dallas Texas is our -- yes he's senior analyst at strategy Marvin.
FaceBook just blow it by -- -- Graham do this.
Now look I understand the concerns that are being -- talked about in the media but I everything this is being blown out of for potions here.
Several things to keep in mind this is right now.
Something that -- -- Graham has just started talking about this is not been introduced yet it's thirty days away.
And I don't know if you guys got a chance to read the -- -- from.
The CE OMR Graham isn't it pretty clear that they're not gonna be selling peoples' photos.
What what what could not do here is they worked pretty clear to us when they first came out saying.
You won't get paid and were gonna allow advertisers to use your stuff then of course yes Kevin Sites from the co-founder came out and said.
We're listening to you thank you were listening we have no intention intentions -- very Dicey word.
Don't you think it doesn't it doesn't it leave a lot of room for interpretation doesn't matter they've already lost.
What I heard more than a million accounts have already been canceled I don't know I mean you know it's hard to get any numbers broken out because FaceBook doesn't break up -- -- -- accounts but.
Just go on Twitter it's one of the top trending Twitter.
Subjects and it seems like people are -- front page of the business section of the New York Times front page of the B section in the Wall Street Journal I don't know blowing it out of proportion.
Well looked -- are out last reported deaths that they -- got 100 million users of -- -- and actually anything that affects.
It's a -- -- a lot of people so here's the way to think about it -- is around still is very popular -- you know I'm sure there is some loss Arafat.
Users near term especially after they sort of -- -- themselves from my from Twitter.
But ultimately this is a business we all you know investors should be focused on the fact that.
-- that is trying to find ways to monetize.
But they're Smart they're not going to jeopardize the user experience.
They are better than that they know if if users have a problem with something they will fix that.
That they've done these things in the past you know yet to -- policies.
Have evolved over time it is sort of punitive all.
I think the important thing is they reacted very quickly and wait for a week debt -- ten days.
For this to get a -- of -- so I'd still exists but ultimately the one thing that really caught my attention was that -- response that.
They're not going to be selling photos of their intention is.
If you -- a business.
And you know you want to be able to use some of the data from mr.
-- and then.
You know with your -- -- -- permission they'll be able to.
Use some of that debt data.
Opt for the advertiser but in the united -- business and have to do that -- if they're not gonna do that of the absolutely user experience left but.
Acting like a business in a way that loses you business could be a big problem look already people were tweeting that they were jumping to Flickr which.
Is hugely beneficial for competitor Yahoo!.
Yahoo! owns Flickr then there's I AM.
These are companies that are all benefiting at the moment Shutterfly might do it.
You think the Twitter isn't gonna start really beefing up its photo sharing and that that might very much hurt.
It's to Graham pence FaceBook look -- allowed to do whatever they can't to monetize but this really is is so reminiscent of when Bank of America about.
-- -- a year and a half ago now said they were going to start charging for ATM use there was such an outcry that the free market worked.
Before cutting up their BofA cards other competitors swept in and said we won't charge you and they auspices of the said forget it we're backing down do you think mr.
Well I think they will do it in a way that you know doesn't affect the user experience -- sure right now it looks like a very big deal.
And not -- are downplaying it and it is a big deal but again if if you look at their parent company FaceBook.
I need to think about the philosophy that that company has had the -- now the foundation was built on was.
You -- users come first and has assays that made.
Mistakes in the past of course they have sure but look where they are today it is out of billion people.
-- -- Graham you know ultimately -- stand on.
The effectiveness off.
So be believed that I think more people ultimately would come back more directly to mr.
-- them as so short Twitter or Flickr.
Other about that size might temporarily benefit from that that still I think in the long run mr.
-- -- remain strong that company.
Thank you so much why I pulled my eleven year old accountant said forget it -- and in fact they announced it in her school he says watch out answer Gramm's gonna make your photos public so even if that isn't true now.
That them the word is out it's good to see -- thank you so much carbon Bakhtiar is senior analyst at strategy saying.
Were maybe making too big deal of -- I don't know you see the stock reversed today halfway through the session closing bell ring.
Filter by section