COPYCATS WINNING THE DAY: First up is a summary of AdWeek’s top digital stats from this past week. Lots of successful me too-ing happening in the digital space right now, with Instagram’s Stories feature set to surpass Snapchat in daily usage, Facebook’s Messenger service crossing 1.2B monthly users, and a message board newcomer called Nextdoor stealing a page from Craigslist’s playbook. Goes to show you don’t necessarily need to have an original idea in tech. Sometimes you just need to connect existing dots better than those who went before you.
NET NEUTRALITY PUSHBACK: A conglomerate of the leading tech publishers in the US is starting to organize a fight against the FCC’s proposed rollback of net neutrality rules. NN is the government regulation prohibiting certain content from being prioritized over others, because it would create a pay-for-play high speed data lane on the internet. New FCC Chairman Ajit Pai is on record saying he wants to dismantle the regulation. The cable providers are cheering this move, since it will allow them to tack on premium service charges for publishers who want to use the high speed lane. The publishers have taken the position that all data delivery should happen at the same speed, creating a level playing for all content across the internet. My guess is that NN will eventually be killed, but it will be interesting to see how big of a stink the largest tech companies in the world make over this issue.
WILL AMAZON BREAK UP THE DUOPOLY?: Finally today, some food for thought on what the competitive landscape in digital media could look like in a few years. We currently live in an age of duopoly where two players (Google and Facebook), have a stranglehold on 60% of the global digital ad revenue. With Snapchat on the rise over the past 18 months industry experts have pondered the development of a three-horse race. But the real potential for industry disruption won’t come from Snapchat . . . instead it will be created by Amazon. The dominant eCommerce player has been quietly but persistently creating a site-served media platform where it sells and runs its own ads. Obviously Amazon has scale, as do many other tech titans. But they also have one thing Google and FB can’t touch – purchase level data. Knowing who their users are and what they’re buying down to specific SKUs could make Amazon a data juggernaut the likes of which we’ve never seen. Think this is far-fetched? Take a look at this Mashable article where investment firms admit to downgrading the stock outlook for Alphabet (Google’s parent co) because of the looming threat of Amazon. Something tells me Facebook and Google better make some room in their sandbox for a new kid!
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