Your Facebook news feed, now with ads →
Alicia Eler, ReadWriteWeb:
“Sponsored Stories are regular stories that people may see in their News Feeds already, but that a marketer has paid to feature on Facebook,” a Facebook spokesperson tells us. Featured stories that users might see in the news feed include new posts from the Facebook Page, when a friend likes something, when a friend checks in, plays a game, or uses an app.
Ben Brooks has in the past asked, “if Facebook is profitable then why does it still need to raise capital through private investing?” As a private company, Facebook doesn’t (and doesn’t need to) open its books, and the estimates of their profitability are just that—estimates. This sort of move doesn’t do much to settle those sorts of questions in my mind.