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Facebook buys studio behind Roblox-like Crayta gaming platform

Facebook has been making plenty of one-off virtual reality studio acquisitions lately, but today the company announced that they’re buying something with wider ambitions — a Roblox-like game creation platform.

Facebook shared that they’re buying Unit 2 Games, which builds a platform called Crayta. Like some other platforms out there, it builds on top of the Unreal Engine and gives users a more simple creation interface teamed with discovery and community features. Crayta has cornered its own niche pushing monetization paths like Battle Pass seasons, giving the platform a more Fortnite-like vibe as well.

Unit 2 has been around for just over three years, and Crayta launched just last July. Its audience has likely been limited by the studio’s deal to exclusively launch on Google’s cloud-streaming platform Stadia, though it’s also available on the Epic Games Store as of March.

The title feels designed for the lightweight nature of cloud-gaming platforms, with users able to share access to games just by linking other users, and Facebook seems keen to use Crayta to push forward their own efforts in the gaming sphere.

“Crayta has maximized current cloud-streaming technology to make game creation more accessible and easy to use. We plan to integrate Crayta’s creation toolset into Facebook Gaming’s cloud platform to instantly deliver new experiences on Facebook,” Facebook Gaming VP Vivek Sharma wrote in an announcement post.

The entire team will be coming on as part of the acquisition, though financial terms of the deal weren’t shared.

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Not on Nextdoor? You can still grab your neighbors’ stuff on Free Finds

Nextdoor, the app that helps neighbors connect, launched a new feature called Free Finds today, which will help people browse the free items available in their neighborhoods. Since the start of 2020, monthly listings to buy, sell and give away items on Nextdoor have increased by 80%, but 25% of these listings advertised free stuff. So, the company decided to create a more streamlined way to get the word out about cool, free stuff on the curbs of your neighborhood.

You don’t have to be a member of Nextdoor to scroll through the free listings. Typically, becoming a member can be a complicated process that requires you to verify your home address via snail mail. But now, whether you’re looking for a free blender or seeking your next trash-to-treasure upcycle project, you can browse what’s up for grabs in your neighborhood.

To contact the seller, you need to set up a free account and go through the standard Nextdoor sign-up process. If your cell service billing address is at the same address where you live, the sign-up process is quick — you can verify your address via text. But, if the addresses don’t match (read: if you’re still on your parents’ family plan), it can take up to 10 days to receive an invitation letter to become a verified Nextdoor member. By then, that lightly worn pair of boots might be long gone.

If you live in a densely populated area, you can probably find a neighborhood “free and for sale”-themed group pretty easily on Facebook. But, at the outset, Nextdoor adds a level of functionality by filtering items into categories, like “for young ones,” “for plant parents,” “spoil your pets” and “hidden treasures.” It could also appeal to those who don’t want to deal with browsing through multiple Facebook groups, including those that stretch beyond their neighborhood to nearby areas that would require a commute.

Nextdoor emphasizes the environmental benefits of a feature like Free Finds, which can help neighbors reduce waste when they discard perfectly usable items — instead, they can share resources with their neighbors. But more broadly, Free Finds is about leveraging people’s interest in free stuff to grow Nextdoor’s user base.

It also comes at a time when Facebook is threatening Nextdoor more directly. The tech giant launched its Neighborhoods feature in Canada last month, which is an obvious Nextdoor clone (Facebook copying other social media apps? Stop me if you’ve heard this one before). The feature should roll out soon for U.S. users.

Over the last year, Nextdoor has launched multiple initiatives that aim to support communities, like Sell for Good, which allowed users to sell items on the social network and donate proceeds to nonprofit causes. In response to the coronavirus outbreak, it also added features like Help Maps, Groups, a fundraising option for local businesses and a neighborly assistance program created with Walmart.

Still, some consumers have become understandably skeptical of neighborhood-based social media apps. The “Black Mirror”-adjacent crime-reporting app Citizen recently came under fire when its CEO Andrew Frame bribed users with $30,000 to catch an arsonist using the app’s new livestreaming service, but had targeted the wrong person. Nextdoor, meanwhile, had in the past developed such reputation for racial profiling that the company eventually had to roll out special tools to address this. Today, it still faces accusations of allowing unneighborly behavior, including political discussions and other posts that can make minority groups feel unwelcome or even unsafe.

Ultimately, investing in new products that encourage the opposite behavior — neighbors helping neighbors, as Free Finds offers — can only go so far to combat the app’s reputation.

The new Free Finds feature is live today in all the countries where Nextdoor operates at either nextdoor.com/freefinds or by visiting the Nextdoor Finds section in the Nextdoor app.

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Facebook opens its Messenger API for Instagram to all

F8 Refresh, Facebook’s annual developer conference with a new twist — it’s more pared down than in years past, and virtual — is going to be kicking off later today, and ahead of that Facebook is unveiling some news: all businesses can now use the Messenger API to interact with users on Instagram. The feature is opening first to all developers globally, with a phased approach for businesses:

Phase 1 will see Instagram accounts with follower counts of over 10,000 and under 100,000 connect to the API. It plans to expand that to accounts with followers numbering between 1,000 and 100,000 in July (phase 2), with remaining accounts coming online by Q3.

The feature was first announced as a closed beta in October with select businesses — 30 developers and 700 brands in all. Now, any brand or organization using Instagram to interact with customers can use it.

The key point with this tool is that this integration represents a significant step forward in how companies can leverage the wider Facebook platform.

In the past, a brand that wanted to interact with customers either needed to do so directly through Instagram, or via Facebook’s unified business inbox, which are limited how they can be used, especially by companies that might be handling large volumes of traffic, or keen to be able to link up those customer interactions with wider customer service databases.

The Messenger API, by contrast, can be integrated into any third-party application that a company or brand might be using to manage communication, whether it’s a social media management platform like Hootsuite or Sprinklr, or a CRM application that can bring in other kinds of customer data, for example warranty information or loyalty card numbers.

Facebook noted that one of the key takeaways from the closed beta was that brands and companies wanted better ways of managing communications from one place; and another was that many of them are making more investments in software to better manage their communications and workflows. So extending the Messenger API to Instagram was a feature that was long needed in that regard.

The move to expand the Messenger API to Instagram makes sense in a couple of different ways. For starters, Facebook has been turning up the volume for some time on how it leverages Instagram’s commercial potential, starting with advertising but expanding into areas like conversation between brands or businesses and users, and most recently, enhanced shopping features. Facebook also notes that 90% of Instagram users today follow at least one business, so creating a better route for managing those conversations is a logical move.

At the same time, Facebook has been working on ways of better linking up its various apps and platforms — which include Facebook itself, Messenger, WhatsApp, Instagram and Oculus, not just for users to interact across them but to help businesses leverage them in a more unified social strategy. Rolling out the Messenger API — created originally to help brands interact with bots and manage conversations on Messenger — to include support for Instagram fits into both of those bigger strategies.

And for those wondering why it’s being announced ahead of F8 Refresh? Perhaps it’s a hint of what is the social network’s bigger priorities for this year’s event: partnerships to enable more business to take place on the social networking giant’s platforms.

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Huawei officially launches Android alternative HarmonyOS for smartphones

Think you’re living in a hyper-connected world? Huawei’s proprietary HarmonyOS wants to eliminate delays and gaps in user experience when you move from one device onto another by adding interoperability to all devices, regardless of the system that powers them.

Two years after Huawei was added to the U.S. entity list that banned the Chinese telecom giant from accessing U.S. technologies, including core chipsets and Android developer services from Google, Huawei’s alternative smartphone operating system was unveiled.

On Wednesday, Huawei officially launched its proprietary operating system HarmonyOS for mobile phones. The firm began building the operating system in 2016 and made it open-source for tablets, electric vehicles and smartwatches last September. Its flagship devices such as Mate 40 could upgrade to HarmonyOS starting Wednesday, with the operating system gradually rolling out on lower-end models in the coming quarters.

HarmonyOS is not meant to replace Android or iOS, Huawei said. Rather, its application is more far-reaching, powering not just phones and tablets but an increasing number of smart devices. To that end, Huawei has been trying to attract hardware and home appliance manufacturers to join its ecosystem.

To date, more than 500,000 developers are building applications based on HarmonyOS. It’s unclear whether Google, Facebook and other mainstream apps in the West are working on HarmonyOS versions.

Some Chinese tech firms have answered Huawei’s call. Smartphone maker Meizu hinted on its Weibo account that its smart devices might adopt HarmonyOS. Oppo, Vivo and Xiaomi, which are much larger players than Meizu, are probably more reluctant to embrace a rival’s operating system.

Huawei’s goal is to collapse all HarmonyOS-powered devices into one single control panel, which can, say, remotely pair the Bluetooth connections of headphones and a TV. A game that is played on a phone can be continued seamlessly on a tablet. A smart soymilk blender can customize a drink based on the health data gleaned from a user’s smartwatch.

Devices that aren’t already on HarmonyOS can also communicate with Huawei devices with a simple plug-in. Photos from a Windows-powered laptop can be saved directly onto a Huawei phone if the computer has the HarmonyOS plug-in installed. That raises the question of whether Android, or even iOS, could, one day, talk to HarmonyOS through a common language.

The HarmonyOS launch arrived days before Apple’s annual developer event scheduled for next week. A recent job posting from Apple mentioned a seemingly new concept, homeOS, which may have to do with Apple’s smart home strategy, as noted by MacRumors.

Huawei denied speculations that HarmonyOS is a derivative of Android and said no single line of code is identical to that of Android. A spokesperson for Huawei declined to say whether the operating system is based on Linux, the kernel that powers Android.

Several tech giants have tried to introduce their own mobile operating systems, to no avail. Alibaba built AliOS based on Linux but has long stopped updating it. Samsung flirted with its own Tizen but the operating system is limited to powering a few Internet of Things, like smart TVs.

Huawei may have a better shot at drumming up developer interest compared to its predecessors. It’s still one of China’s largest smartphone brands despite losing a chunk of its market after the U.S. government cut it off from critical chip suppliers, which could hamper its ability to make cutting-edge phones. HarmonyOS also has a chance to create an alternative for developers who are disgruntled with Android, if Huawei is able to capture their needs.

The U.S. sanctions do not block Huawei from using Android’s open-source software, which major Chinese smartphone makers use to build their third-party Android operating system. But the ban was like a death knell for Huawei’s consumer markets overseas as its phones abroad lost access to Google Play services.

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Augmented reality NFT platform Anima gets backing from Coinbase

Augmented reality and non-fungible tokens, need I say more? Yes? Oh, well NFTs have certainly had their moment in 2021, but the question of what they do or what can be done with them has certainly been getting voiced more frequently as the speculative gold rush begins to cool off and people start to think more about how digital goods can evolve in the future.

Anima, a small creative crypto startup built by the founders of photo/video app Ultravisual, which Flipboard acquired back in 2014, is looking to use AR to shift how NFT art and collectibles can be viewed and shared. Their latest venture is an effort to help artists bring their digital creations to a bigger digital stage and help find what the future of NFTs looks like in augmented reality.

The startup has put together a small $500K pre-seed round from Coinbase Ventures, Divergence Ventures, Flamingo DAO, Lyle Owerko and Andrew Unger.

“As NFTs move away from being a more speculative market where it’s all about returns on your purchases, I think that’s healthy and it’s good for us specifically because we want to make things that are more approachable,” co-founder Alex Herrity says.

Their broader vision is finding ways for digital objects to interact with the real world, something that’s been a pretty top-of-mind concern for the AR world over the last few years, though augmented reality development has cooled more recently as creators have sunk into a wait-and-see attitude toward new releases from Apple and Facebook. Both the AR and NFT spaces are incredibly early, something Anima’s co-founders were quick to admit, but they think both spaces have matured enough that the gimmicks are out in the open.

“There’s a context shift that happens when you see AR as a vehicle to have a tactile relationship with something that you collected or that you see is a lifestyle accessory versus the common thing now where it’s a little bit more of an experiential gimmick,” co-founder Neil Voss tells TechCrunch.

The team has worked with a couple artists already as they’ve made early experiments in bringing digital art objects into AR and they’re launching a marketplace late next month based on ConsenSys’s Palm platform, where they hope to showcase more of their future partnerships.

 

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Poparazzi hypes itself to the top of the App Store

If Instagram’s photo tagging feature was spun out into its own app, you’d have the viral sensation Poparazzi, now the No. 1 app on the App Store. The new social networking app, from the same folks behind TTYL and others, lets you create a social profile that only your friends can post photos to — in other words, making your friends your own “paparazzi.” To its credit, the new app has perfectly executed on a series of choices designed to fuel day-one growth — from its prelaunch TikTok hype cycle to drive App Store preorders to its postlaunch social buzz, including favorable tweets by its backers. But the app has also traded user privacy in some cases to amplify network effects in its bid for the Top Charts, which is a risky move in terms of its long-term staying power.

The company positions Poparazzi as a sort of anti-Instagram, rebelling against today’s social feeds filled with edited photos, too many selfies and “seemingly effortless perfection.” People’s real lives are made up of many unperfect moments that are worthy of being captured and shared, too, a company blog post explains.

This manifesto hits the right notes at the right time. User demand for less performative social media has been steadily growing for years — particularly as younger, Gen Z users wake up to the manipulations by tech giants. We’ve already seen a number of startups try to siphon users away from Instagram using similar rallying cries, including Minutiae, Vero, Dayflash, Oggl and, more recently, the once-buzzy Dispo and the under-the-radar Herd.

Even Facebook has woken up to consumer demand on this front, with its plan to roll out new features that allow Facebook and Instagram users to remove the Like counts from their posts and their feeds.

Poparazzi hasn’t necessarily innovated in terms of its core idea — after all, tagging users in photos has existed for years. In fact, it was one of the first viral effects introduced by Facebook in its earlier days.

Instead, Poparazzi hit the top of the charts by carefully executing on growth strategies that ensured a rocket ship-style launch.

@poparazziappcomment it! ##greenscreen ##poparazziapp ##positivity ##foryoupage♬ Milkshake – BBY Kodie

The company began gathering prelaunch buzz by driving demand via TikTok — a platform that’s already helped mint App Store hits like the mobile game High Heels. TikTok’s powers are still often underestimated, even though its potential to send apps up the Top Charts have successfully boosted downloads for a number of mobile businesses, including TikTok sister app CapCut and e-commerce app Shein, for example.

And Poparazzi didn’t just build demand on TikTok — it actually captured it by pointing users to its App Store preorders page via the link in its bio. By the time launch day rolled around, it had a gaggle of Gen Z users ready and willing to give Poparazzi a try.

The app launches with a clever onboarding screen that uses haptics to buzz and vibrate your phone while the intro video plays. This is unusual enough that users will talk and post about how cool it was — another potential means of generating organic growth through word-of-mouth.

After getting you riled up with excitement, Poparazzi eases you into its bigger data grab.

First, it signs up and authenticates users through a phone number. Despite Apple’s App Store policy, which requires it, there is no privacy-focused option to use “Sign In with Apple,” which allows users to protect their identity. That would have limited Poparazzi’s growth potential versus its phone number and address book access approach.

It then presents you with a screen where it asks for permission to access your Camera (an obvious necessity) and Contacts (wait, all of them?), and permission to send you Notifications. This is where things start to get more dicey. The app, like Clubhouse once did, demands a full address book upload. This is unnecessary in terms of an app’s usability, as there are plenty of other ways to add friends on social media — like by scanning each other’s QR code, typing in a username directly or performing a search.

But gaining access to someone’s full Contacts database lets Poparazzi skip having to build out features for the privacy-minded. It can simply match your stored phone numbers with those it has on file from user signups and create an instant friend graph.

As you complete each permission, Poparazzi rewards you with green checkmarks. In fact, even if you deny the permission being asked, the green check appears. This may confuse users as to whether they’ve accidently given the app access.

While you can “deny” the Address Book upload — a request met with a tsk tsk of a pop-up message — Poparazzi literally only works with friends, it warns you — you can’t avoid being found by other Poparazzi users who have your phone number stored in their phone.

When users sign up, the app matches their address book to the phone number it has on file and then — boom! — new users are instantly following the existing users. And if any other friends have signed up before you, they’ll be following you as soon as you log in the first time.

In other words, there’s no manual curation of a “friend graph” here. The expectation is that your address book is your friend graph, and Poparazzi is just duplicating it.

Of course, this isn’t always an accurate presentation of reality.

Many younger people, and particularly women, have the phone numbers of abusers, stalkers and exes stored in their phone’s Contacts. By doing so, they can leverage the phone’s built-in tools to block the unwanted calls and texts from that person. But because Poparazzi automatically matches people by phone number, abusers could gain immediate access to the user profiles of the people they’re trying to harass or hurt.

Sure, this is an edge case. But it’s a nontrivial one.

It’s a well-documented problem, too — and one that had plagued Clubhouse, which similarly required full address book uploads during its early growth phase. It’s a terrible strategy to become the norm, and one that does not appear to have created a lasting near-term lock-in for Clubhouse. It’s also not a new tactic. Mobile social network Path tried address book uploads nearly a decade ago and almost everyone at the time agreed this was not a good idea.

As carefully designed as Poparazzi is — (it’s even got a blue icon — a color that denotes trustworthiness!) — it’s likely the company intentionally chose the trade-off. It’s forgoing some aspects of user privacy and safety in favor of the network effects that come from having an instant friend graph.

The rest of the app then pushes you to grow that friend graph further and engage with other users. Your profile will remain bare unless you can convince someone to upload photos of you. A SnapKit integration lets you beg for photo tags over on Snapchat. And if you can’t get enough of your friends to tag you in photos, then you may find yourself drawn to the setting “Allow Pops from Everyone,” instead of just “People You Approve.”

There’s no world in which letting “everyone” upload photos to a social media profile doesn’t invite abuse at some point, but Poparazzi is clearly hedging its bets here. It likely knows it won’t have to deal with the fallout of these choices until further down the road — after it’s filled out its network with millions of disgruntled Instagram users, that is.

Dozens of other growth hacks are spread throughout the app, too, from multiple pushes to invite friends scattered throughout the app to a very Snapchatt-y “Top Poparazzi” section that will incentivize best friends to keep up their posting streaks.

It’s a clever bag of tricks. And though the app does not offer comments or followers counts, it isn’t being much of an “anti-Instagram” when it comes to chasing clout. The posts — which can turn into looping GIFs if you snap a few in a row — may be more “authentic” and unedited than those on Instagram; but Poparazzi users react to posts with a range of emojis and how many reactions a post receives is shown publicly.

For beta testers featured on the explore page, reactions can be in the hundreds or thousands — effectively establishing a bar for Pop influence.

Finally, users you follow have permission to post photos, but if you unfollow them — a sure sign that you no longer want them to be in your poparazzi squad — they can still post to your profile. As it turns out, your squad is managed under a separate setting under “Allow Pops From.” That could lead to trouble. At the very least, it would be nice to see the app asking users if they also want to remove the unfollowed account’s permission to post to your profile at the time of the unfollow.

Overall, the app can be fun — especially if you’re in the young, carefree demographic it caters to. Its friend-centric and ironically anti-glam stance is promising as well. But additional privacy controls and the ability to join the service in a way that offers far more granular control of your friend graph in order to boost anti-abuse protections would be welcome additions. 

TechCrunch tried to reach Poparazzi’s team to gain their perspective on the app’s design and growth strategy, but did not hear back. (We understand they’re heads down for the time being.) We understand, per SignalFire’s Josh Constine and our own confirmation, that Floodgate has invested in the startup, as has former TechCrunch co-editor Alexia Bonatsos’ Dream Machine and Weekend Fund.

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Facebook and Instagram will now allow users to hide ‘Like’ counts on posts

Facebook this week will begin to publicly roll out the option to hide Likes on posts across both Facebook and Instagram, following earlier tests beginning in 2019. The project, which puts the decision about Likes in the hands of the company’s global user base, had been in development for years, but was deprioritized due to the COVID-19 pandemic and the response work required on Facebook’s part, the company says.

Originally, the idea to hide Like counts on Facebook’s social networks was focused on depressurizing the experience for users. Often, users faced anxiety and embarrassment around their posts if they didn’t receive enough Likes to be considered “popular.” This problem was particularly difficult for younger users who highly value what peers think of them — so much so that they would take down posts that didn’t receive enough Likes.

Like-chasing on Instagram, especially, also helped create an environment where people posted to gain clout and notoriety, which can be a less authentic experience. On Facebook, gaining Likes or other forms of engagement could also be associated with posting polarizing content that required a reaction.

As a result of this pressure to perform, some users grew hungry for a “Like-free” safer space, where they could engage with friends or the wider public without trying to earn these popularity points. That, in turn, gave rise to a new crop of social networking and photo-sharing apps such as MinutiaeVeroDayflashOggl and, now, newcomers like Dispo and newly viral Poparazzi.

Though Facebook and Instagram could have chosen to remove Likes entirely and take its social networks in a new direction, the company soon found that the metric was too deeply integrated into the product experience to be fully removed. One key issue was how the influencer community today trades on Likes as a form of currency that allows them to exchange their online popularity for brand deals and job opportunities. Removing Likes, then, is not necessarily an option for these users.

Instagram realized that if it made a decision for its users, it would anger one side or the other — even if the move in either direction didn’t really impact other core metrics, like app usage.

Image Credits: Instagram

“How many likes [users] got, or other people got — it turned out that it didn’t actually change nearly as much about the experience, in terms of how people felt or how much they use the experience, as we thought it would. But it did end up being pretty polarizing,” admitted Instagram head, Adam Mosseri. “Some people really liked it and some people really didn’t.”

“For those who liked it, it was mostly what we had hoped — which is that it depressurized the experience. And, for those who didn’t, they used Likes to get a sense for what was trending or was relevant on Instagram and on Facebook. And they were just super annoyed that we took it away,” he added. This latter group sometimes included smaller creators still working on establishing a presence across social media, though larger influencers were sometimes in favor of Like removals. (Mosseri name-checked Katy Perry as being pro Like removals, in fact.)

Ultimately, the company decided to split the difference. Instead of making a hard choice about the future of its online communities, it’s rolling out the “no Likes” option as a user-controlled setting on both platforms.

On Instagram, both content consumers and content producers can turn on or off Like and View counts on posts — which means you can choose to not see these metrics when scrolling your own Feed and you can choose whether to allow Likes to be viewed by others when you’re posting. These are configured as two different settings, which provides for more flexibility and control.

Image Credits: Instagram

On Facebook, meanwhile, users access the new setting from the “Settings & Privacy” area under News Feed Settings (or News Feed Preferences on desktop). From here, you’ll find an option to “Hide number of reactions” to turn this setting off for both your own posts and for posts from others in News Feed, groups and Pages.

The feature will be made available to both public and private profiles, Facebook tells us, and will include posts you’ve published previously.

Image Credits: Facebook

Instagram last month restarted its tests on this feature in order to work out any final bugs before making the new settings live for global users, and said a Facebook test would come soon. But it’s now forging ahead with making the feature available publicly. When asked why such a short test, Instagram told TechCrunch it had been testing various iterations on this experience since 2019, so it felt it had enough data to proceed with a global launch.

Mosseri also pushed back at the idea that a decision on Likes would have majorly impacted the network. While removal of Likes on Instagram had some impact on user behavior, he said, it was not enough to be concerning. In some groups, users posted more — signaling that they felt less pressure to perform, perhaps. But others engaged less, Mosseri said.

Image Credits: Facebook

“Often people say, ‘oh, this has a bunch of Likes. I’m gonna go check it out,’ ” the exec explained. “Then they read the comments, or go deeper, or swipe to the carousel. There’s been some small effects — some positive, some negative — but they’ve all been small,” he noted. Instagram also believes users may toggle on and off the feature at various times, based on how they’re feeling.

In addition, Mosseri pointed out, “there’s no rigorous research that suggests Likes are bad for people’s well-being” — a statement that pushes back over the growing concerns that a gamified social media space is bad for users’ mental health. Instead, he argued that Instagram is still a small part of people’s day, so how Likes function doesn’t affect people’s overall well-being.

“As big as we are, we have to be careful not to overestimate our influence,” Mosseri said.

He also dismissed some of the current research pointing to negative impacts of social media use as being overly reliant on methodologies that ask users to self-report their use, rather than measure it directly.

In other words, this is not a company that feels motivated to remove Likes entirely due to the negative mental health outcomes attributed to its popularity metrics.

It’s worth mentioning that another factor that could have come into play here is Instagram’s plan to make a version of its app available to children under the age of 13, as competitor TikTok did following its FTC settlement. In that case, hiding Likes by default — or perhaps adding a parental control option — would necessitate such a setting. Instagram tells TechCrunch that, while it’s too soon to know what it would do with a kids app, it will “definitely explore” a no Likes by default option.

Facebook and Instagram both told TechCrunch the feature will roll out starting on Wednesday but will reach global users over time. On Instagram, that may take a matter of days.

Facebook, meanwhile, says a small percentage of users will have the feature Wednesday — notified through an alert on News Feed — but it will reach Facebook’s global audience “over the next few weeks.”

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Facebook debuts ‘Live Shopping Fridays’ featuring beauty, fashion and skincare brands

Facebook wants to whet consumers’ appetite for live streamed shopping with this week’s launch of “Live Shopping Fridays” event series, which will see larger brands live streaming beauty, skincare, and fashion content on a weekly basis. The event begins Friday, May 22nd and runs through mid-July, with streams from brands like Abercrombie and Fitch, Bobbi Brown, Clinique, Sephora, Dermalogica, Alleyoop, and Zox.

The events are meant to encourage larger brands to try out live shopping as a medium, as well as generally raise awareness about live shopping on Facebook among consumers.

The brands will use their live shopping events in a number of ways. They may give a behind-the-scenes look at their business or they may partner with creators to showcase their products in “how-to” style videos, for example.

During the live streams, viewers can comment and ask questions which brands can read and respond to. Shoppers can also tap on the products displayed in the stream to learn more without having to leave the video. If they want to buy, they can add them to the cart and check out at any time — during or even after the event has wrapped. The brands receive the customer’s shipping information, and if the consumer opts in, they can gain access to other details as well, like email and phone number.

Live stream video shopping became publicly available on Facebook last summer, following a series of smaller trials and beta tests, where the format initially found traction with smaller to medium-sized businesses and digital-first brands, Facebook says.

The Covid pandemic also pushed adoption of the format, in some cases, as creative business owners turned to live shopping to reach their customers when lockdowns closed non-essential businesses.

Image Credits: Facebook

More recently, larger brands like Petco and Bobbi Brown have run live shopping events — the former as part of a charity effort, and the latter with a live stream featuring tips from makeup artist Michele Shakeshaft. (Pictured)

“The way that we’re thinking about this is that e-commerce has made buying incredibly convenient. So when you have a need, you pull out your phone, purchase, and your order is on its way,” explains Yulie Kwon Kim, who leads product for Facebook App Commerce.

“But buying is not shopping. And so, a lot of what people do is window shop to see what’s new, for entertainment. You discover something cool that you didn’t know about. When you’re shopping, people often want to hear from a live person, get suggestions, and see the product and context,” she says. “And increasingly, people are discovering and deciding what to buy through social media,” Yulie adds.

She also notes that almost three-quarters of consumers globally are getting shopping ideas through Facebook, Instagram, Messenger, and WhatsApp, and almost two-thirds agree that social media has now become as important as other information sources when making purchase decisions.

 

Facebook says the live events will be presented to consumers in a number of ways during the summer. If you follow a brand, you’ll be notified of their participation. You’ll also see News Feed announcements where you’ll be notified when events are starting (see above). And the Facebook Shop tab will offer a schedule of upcoming live shopping streams taking place across the platform.

Facebook, of course, is not the only one to realize the potential in live shopping.

Startups like NTWRK, Popshop Live, Talkshoplive, Dote, Bambuser, and others brought the live shopping model already popular in China to the U.S. and other markets, many months before the pandemic. TikTok has been testing live shopping, including with Walmart in the U.S., as well.

Amazon, meanwhile, live streams to its website, and YouTube announced earlier this year its beta tests of an integrated e-commerce experience.

As for Facebook, a live shopping platform could ultimately serve as a significant revenue stream, thanks to selling fees applied at checkout. While Facebook did waive those selling fees through June 2021 — a decision it claims was to help support small businesses during the Covid-19 pandemic — that move also conveniently helps Facebook stake its place in the live stream shopping market land grab now underway. Facebook also needs to diversify its revenue, given that Apple’s privacy push around third-party tracking will hurt Facebook’s ad business. 

Facebook’s Live Shopping Fridays series will roll out across both mobile and desktop in the U.S. this week, and will also pop on Facebook’s Shop Tab for easy access.

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The truth about SDK integrations and their impact on developers

The digital media industry often talks about how much influence, dominance and power entities like Google and Facebook have. Generally, the focus is on the vast troves of data and audience reach these companies tout. However, there’s more beneath the surface that strengthens the grip these companies have on both app developers and publishers alike.

In reality, software development kit (SDK) integrations are a critical component of why these monolith companies have such a prominent presence. For reference, an SDK is a set of software development tools, libraries, code samples, processes and guides that help developers create or enhance the apps they’re building.

Through a digital marketing lens, SDKs provide in-app analytics, insights on campaign testing, attribution information, location details, monetization capabilities and more.

Through a digital marketing lens, SDKs provide in-app analytics, insights on campaign testing, attribution information, location details, monetization capabilities and more. In the case of companies like Google and Facebook, their ability to provide these insights dovetails with their data and reach.

While that does deliver useful capabilities to developers and publishers alike, it also perpetuates the factors contributing to their perceived monopolistic status — and the detriments a lack of competition fosters.

Almost all (90%) ad-monetized Android apps have Google’s Admob SDK integrated, data from Statista showed. Additionally, the Facebook Audience Network SDK is present in 19% of all global Android apps utilizing mobile ads. It’s worth noting that the large majority of alternative “leading” advertising SDKs outside these two players are used less than 13% of the time in Android apps.

As the app ecosystem rapidly expands beyond the borders of mobile, app developers and publishers would benefit immensely from identifying economical and secure ways of adopting more SDKs.

The state of SDK adoption

While there are many SDKs available in the market today, a few key factors contribute to Google and Facebook’s overall dominance. The most basic is around the respective organizations’ reach and industry notoriety. However, a larger component here is the lack of resources and time app developers have.

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YouTube announces a $100M fund to reward top YouTube Shorts creators over 2021-2022

YouTube is giving its TikTok competitor, YouTube Shorts, an injection of cash to help it better compete with rivals. The company today introduced the YouTube Shorts Fund, a $100 million fund that will pay YouTube Shorts creators for their most viewed and most engaging content over the course of 2021 and 2022. Creators can’t apply for the fund to help with content production, however. Instead, YouTube will reach out to creators each month whose videos exceeded certain milestones to reward them for their contributions.

The company expects to dole out money to “thousands” of creators every month, it says. And these creators don’t need to be in the YouTube Partner Program to qualify — anyone is eligible to receive rewards by creating original content for YouTube Shorts.

YouTube declined to share more specific details about the fund’s operations at this time, including how creators will be vetted or what specific thresholds for receiving payments YouTube has in mind. It also wouldn’t offer details as to whether YouTube creators could receive multiple payments in the same pay period if they had several videos that would qualify, or any other details.

And while the company stressed that only “original” content would gain rewards, it didn’t clarify how it will go about checking to ensure the content isn’t already uploaded on another platform, like Reels, Snapchat or TikTok.

Image Credits: YouTube

Instead, YouTube said that more details about the payments and qualifications would be available closer to the fund’s launch, which is expected sometime in the next few months. It pointed out also that it has paid out over $30 billion to creators, artists and media companies over the last three years, and it expects the new fund will help it to build a long-term monetization model for Shorts on YouTube going forward.

YouTube isn’t the only platform to take on the threat of TikTok by throwing cash at the problem.

Snapchat has been paying $1 million per day to creators for their top-performing videos on Spotlight, its own TikTok clone, minting several millionaires in the process. Facebook-owned Instagram, meanwhile, made lucrative offers to top TikTok stars to use its new service, Reels, The WSJ reported last year.

Despite the size of these efforts, TikTok’s own Creator Fund remains a competitive force. It announced its fund would grow to over $1 billion in the U.S. in the next three years and would be more than double that on a global basis. This March, it also added another requirement to receiving the fund’s payments, including having at least 100K authentic views in the last 30 days — a signal that it’s setting the bar even higher, given its current success.

Alongside the debut of YouTube’s Shorts Fund, the company also noted it’s expanding its Shorts player feature across more places on YouTube to help viewers discover this short-form video content, will begin testing ads for Shorts and will be rolling out the new “remix audio” feature to all Shorts creators.

Image Credits: YouTube

This somewhat controversial feature allows Shorts creators to sample sounds from other YouTube videos for use in their Shorts, instead of only using song clips or original audio. Some YouTube creators were surprised to find the feature was opt-out by default — meaning their content could be used on YouTube Shorts unless they took the time to turn this setting off or removed their video from YouTube.

Since its launch, YouTube has also rolled out other features to Shorts, including support for captions, the ability to record up to 60 seconds with the Shorts camera, the ability to add clips from your phone’s gallery to your recordings made with the Shorts camera and the ability use basic filters to color correct videos. YouTube says more effects will arrive in the future.

But even as YouTube tries to catch up with TikTok on feature sets, TikTok has been expanding its own effects lineup and becoming more YouTube-like by supporting longer videos. Some TikTok creators, for example, have recently been given the ability to record videos three minutes in length, instead of just 60 seconds.

YouTube says the new fund will roll out in the coming months and it will listen to the feedback from the creator community to develop a long-term program designed for YouTube Shorts.

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