Facebook Finally Admits Decline in Young Teens
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After denying reports of young teens forgoing Facebook, company officials have finally admitted the decline. On a third-quarter earnings call, CFO David Ebersman told analysts,
"Our best analysis on youth engagement in the US reveals that usage of Facebook among US teens overall was stable from Q2 to Q3, but we did see a decrease in daily users, specifically among younger teens."
This drop seemed to shake investors' confidence. The stock dropped 2% on the news.
According to the CNET article, Ebersman also admitted that it's difficult to determine teen activity becauses this group often fabricates dates of birth.
Earlier reports claimed that Facebook isn't cool now that mom and dad (and grandma) have accounts. Some statistics show that young teens are flocking to sites such as Twitter and Tumblr instead.
Discussion Starters:
- How do you think Facebook made the decision to stop denying reports? What do you think were the deciding points?
- What's your view of Facebook's claim about fabricated birth dates? What are the responsibilities of users, the company, parents, and perhaps other groups?
