FB shares rise in pre-release as Facebook plans to pay content creators $ 1 billion in 2022
As part of the initiative, Facebook will have seasonal bonuses. Some bonuses in the Instagram app will launch this summer and in the Facebook app in the fall.
Facebook Inc (NASDAQ: FB) CEO Mark Zuckerberg on Wednesday ad the tech giant’s initiative to pay creators over $ 1 billion to reward them for creating content on Facebook and Instagram through 2022. According to Zuckerberg, Facebook’s plan to pay creators aims to make Facebook “the best platforms for millions of creators to make a living”.
Facebook content creators
This money will be distributed among all types of creators and influencers for different types of activities on the platforms. As Facebook said in the Press release, some bonuses are already available. In particular, Facebook offers an In-Stream bonus for video creators and a Stars bonus for game creators. Both are available by invitation now. As for Instagram, the first bonuses will be available by invitation and will reward creators for their subscription to IGTV ads and the use of Live and Reels badges. They will include the IGTV ad bonus which allows US creators to earn a one-time bonus by signing up for IGTV ads, which allows them to generate income while showing ads during their videos.
In addition, it will be the Live bonus badges that will offer rewards for reaching certain milestones with badges, such as going live with another account. And in the coming weeks, Instagram is planning to launch the Reels Summer bonus. It will pay creators for creating great Instagram Reels. Reels is an Instagram feature that allows users to create 15-second music videos and share them in their Stories, Explore Feed, and the new Reels tab on a user’s profile. It was touted as a way to compete with TikTok.
Facebook also added that some bonuses will be seasonal. Some bonuses in the Instagram app will launch this summer and in the Facebook app in the fall.
Cutthroat competition between social media platforms
This is not the first time that Facebook has decided to pay creators for the use of its products and services. Previously, the social media giant paid TikTok influencers and YouTube users for using Instagram features like IGTV and Reels. Separately, in December, Facebook pledged to invest $ 10 million over the next two years in the black gaming community. The company also decided to offer certain creators guaranteed monthly payments for using Facebook Gaming, a streaming platform similar to Twitch.
In June, Facebook also announced that it would not take creator-generated revenue for paid online events, fan subscriptions, badges, and Facebook’s next independent news product until at least 2023. From this way, Facebook is trying to win the competition with other platforms like TikTok.
What’s new with Facebook Stock?
Yesterday, Facebook stock ended the session down 1.27%, at $ 347.63. However, in the wake of the news, it rose 0.049% in pre-market to $ 347.80. The market capitalization is $ 998.34 billion. It is down slightly from $ 1,000 billion, a milestone that Facebook managed to reach in June.
Daria is an economics student interested in the development of modern technologies. She is eager to learn as much as possible about cryptos because she believes they can change the way we view finance and the world in general.