Campbell Brown, who was hired earlier in the year to head up Facebook's partnership team, discussed this subscription service at yesterday's Digital Publishing Information Summit in NY, according to The Street.
According to Brown, the paywall idea is based on premium and metered plans and has been in the works for a while. Facebook has tried a variety of different money making methods, but later on this year, we'll see it try something new. Large publications such as The New York Times and The Washington Post already employ similar limited paywalls on their websites. Plans for the service include erecting a paywall that would cut off nonsubscribers after they had accessed 10 articles, according to TheStreet, which was in attendance at the industry conference.
To all subscriber data, Facebook will also give access to publications, through which they can understand their audience better. "We are launching a subscription product", he told the gathering. The News Media Alliance, which petitioned Congress, charges that Facebook and Google benefit from the work of hundreds of newspapers without fairly compensating publishers. Despite the fact that many publishers who operate a paywall allow varying numbers of free articles for visitors, a source to Facebook told Techcrunch that the number would be the same across all partners to ensure consistency for users.
Summer smash Despacito named the most streamed song of all time
Daddy Yankee recently celebrated a victory over Ed Sheeran this year to become the first Latino artist to lead in Spotify streams, thanks in part to " Despacito's " success.
It is interesting to see the media outlets look to split revenue with Facebook over a task of a consumer just bypassing Facebook, and going directly to a news site for content. Facebook Executive of News Partnerships, Campbell Brown, reported that preliminary tests will start this October in response to pleading news publishers.
According to Boyle, newspapers had thought allowing their articles to be shared on social media would earn them a piece of the digital ad market.
It's still unclear how payment will be taken for subscribers that sign-up via the Facebook paywall. According to media reports, Google and Facebook control almost two-third of the digital advertising industry, and newspaper revenue from advertisements declined to $16 billion in 2016, down from about $50 billion 10 years earlier.