Facebook backs down on WhatsApp ads

Facebook’s plan to advertise on WhatsApp, which has led to whatsApp co-founders leaving the company in recent years, has been shelved. Facebook disbanded the team looking for new ways to get ads on WhatsApp.

Facebook’s move, which has long focused on generating revenue through the Apps Family, has come as a surprise. Facebook, which acquired WhatsApp for $22 billion in 2014, focused on generating revenue by advertising the company’s 1.5 billion-dollar user base. Please note that Facebook announced in early 2020 that WhatsApp will place ads on its status tab.  WhatsApp ads were also shared at the Facebook Marketing Summit event.

The company, which has disabled WhatsApp ads, is expected to focus on operating tools. According to a Facebook official, the company will focus on developing features that enable businesses to communicate with customers, as well as providing payment services in other countries. WhatsApp ads are considered a long-term project, but it is not yet clear when this project will take place.

In the details of Jan Koum’s departure, we mentioned that the reasons that driven Koum to this separation were the conversion of WhatsApp into a business tool and the consolidation of user data with Facebook. Following the breakup, Brian Acton announced that he had left for the same reasons. Following the 2014 acquisition, Combining WhatsApp user data with Facebook data pushed Acton to leave the company.  1 and a half years after this incident, the user terms of service agreement was changed and user numbers on WhatsApp were transferred to Facebook.

This allowed Facebook to offer better targeted ads to advertisers. businesses have the luxury of showing ads only to those users by entering their phone number thanks to WhatsApp. For this reason, Facebook, which paid a $122 million fine to the European Union, was not affected. After all, the company made a profit of $4 billion in one quarter. After all this, the company’s decision to shelve WhatsApp ads was met with astonishment.

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