WEBVTT - The History of Social Networks: Myspace and Facebook

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<v Speaker 1>Welcome to Tech Stuff, a production from I Heart Radio.

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<v Speaker 1>Hey there, and welcome to tech Stuff. I'm your host,

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<v Speaker 1>Jonathan Strickland. I'm an executive producer with I Heart Radio

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<v Speaker 1>and how the tech are you? So? This episode is

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<v Speaker 1>a continuation of one I published on Monday, November two thousand,

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<v Speaker 1>two days ago. If you're listening to this, the date

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<v Speaker 1>comes out and I'm walking through the history of social networks.

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<v Speaker 1>I was inspired to do this because of various crises

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<v Speaker 1>happening at Meta and Twitter, two of the heavy hitters

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<v Speaker 1>in the social network space, particularly here in the United States,

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<v Speaker 1>and the struggles these two companies are going through have

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<v Speaker 1>prompted some to suggest that perhaps the era of social

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<v Speaker 1>networks could be coming to an end. Now, I am

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<v Speaker 1>not ready to make such a lame, particularly since I

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<v Speaker 1>think the definition of social network is pretty wibbly wobbly,

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<v Speaker 1>if not timey whiney, and that you could argue platforms

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<v Speaker 1>like TikTok or at least a close cousin to social networks,

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<v Speaker 1>if not just a social network in a different form factor,

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<v Speaker 1>and that we're not likely to see the complete disappearance

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<v Speaker 1>of these things. But you know, that's just my opinion. Anyway,

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<v Speaker 1>in the last episode, we left off with the social

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<v Speaker 1>network High five, but we've got a whole bunch of

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<v Speaker 1>other social networks to talk about. And here's the real issue, y'all.

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<v Speaker 1>Two of the biggest, our most important social networks launched

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<v Speaker 1>not long after High five. So while I was hoping

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<v Speaker 1>to cover maybe five, maybe four social networks in this episode,

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<v Speaker 1>we're only going to get to two because they were

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<v Speaker 1>two very big ones and very important ones. Also, just

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<v Speaker 1>a reminder, this series is not really an exhaustive list

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<v Speaker 1>of every social network ever. There have been tons, including

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<v Speaker 1>some that never really found much traction, like some that

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<v Speaker 1>kind of quietly debuted, didn't really get enough users, and

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<v Speaker 1>then went away without anyone really paying much attention. So

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<v Speaker 1>I'm not covering every single one of them. My apologies

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<v Speaker 1>if I leave out your favorite obscure social network as

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<v Speaker 1>we go through this series. So here's our next entry.

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<v Speaker 1>It was a big one, at least for a while.

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<v Speaker 1>It began when a few e Universe employees, among them

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<v Speaker 1>two named Krista Wolfe and Everybody's friend Tom Anderson collaborated

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<v Speaker 1>to create a social network that from the start had

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<v Speaker 1>an emphasis on promoting and discovering music, it was, of

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<v Speaker 1>course my Space. So we're talking two thousand three here. Now.

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<v Speaker 1>Obviously these guys did not come up with the idea

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<v Speaker 1>for an online social network from scratch right like there

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<v Speaker 1>were previous social networks out there. In fact, they had

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<v Speaker 1>been using Friendster, and we talked about Friendster in the

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<v Speaker 1>previous episode in this series. So if you want to

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<v Speaker 1>hear more about that, listen to Monday's episode. Now, for

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<v Speaker 1>those of you who never joined my Space back in

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<v Speaker 1>its original incarnation, because I should point out my Space

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<v Speaker 1>still is a thing, it's just a different thing from

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<v Speaker 1>the original MySpace. Well, if you were never part of

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<v Speaker 1>my Space, you might not remember what it was like

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<v Speaker 1>to be on the site back in those days, so

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<v Speaker 1>pretty early on in MySpace history. Once it launched, users

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<v Speaker 1>could create a profile page that had their their photo

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<v Speaker 1>up on it that could link to other photos as well. Uh.

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<v Speaker 1>They could also include a short playlist of songs that

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<v Speaker 1>were available on my Space and those would automatically play.

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<v Speaker 1>You could set it to automatically play when someone visited

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<v Speaker 1>your profile. This was something that was both interesting and infuriating,

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<v Speaker 1>depending upon your friends musical tastes. It could also really

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<v Speaker 1>put friendships to the test. Right, You go and visit

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<v Speaker 1>a friend's page and you're like, Wow, I didn't know

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<v Speaker 1>that Jonathan was so into Debbie Gibson. Um, not that

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<v Speaker 1>I had Debbie Gibson. Actually I remember I had some

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<v Speaker 1>they might be Giants songs on my my Space profile page.

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<v Speaker 1>As I recall, it has been a long time since

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<v Speaker 1>I had on my Space page, so I I remember

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<v Speaker 1>having they might be Giant songs on there, but I

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<v Speaker 1>could be inventing that memory anyway. You could also deck

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<v Speaker 1>out your profile with various gimmicks that could make the

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<v Speaker 1>experience of visiting someone's profile and eye bleeding affair if

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<v Speaker 1>if you wanted it to be. A lot of folks

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<v Speaker 1>seem to adopt the more is more attitude and they

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<v Speaker 1>threw everything and the kitchen sync at their profiles. At

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<v Speaker 1>least my friends did that, so it was not subtle

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<v Speaker 1>in a lot of cases, like you would see some

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<v Speaker 1>profiles that have little animated flashes of light and things

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<v Speaker 1>like that on them, uh, making it very difficult to

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<v Speaker 1>read stuff on occasion. As for Tom, the co creator

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<v Speaker 1>that I said was everybody's friend, That was literally true

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<v Speaker 1>in my Space. When you first joined my Space, Tom

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<v Speaker 1>Anderson would populate your friends list, so you weren't starting

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<v Speaker 1>from nothing. You had Tom as your friend from the

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<v Speaker 1>very beginning. You could, of course removed Tom from your

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<v Speaker 1>friends list, but it was a nice touch to suggest

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<v Speaker 1>that all users really are our friends of one of

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<v Speaker 1>the creators of the site. Right, you've already got a friend.

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<v Speaker 1>You've got a friend in Tom. Now I should actually

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<v Speaker 1>add this was not always a thing, because technically Tom

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<v Speaker 1>didn't sign up for my Space until it had already launched,

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<v Speaker 1>like two weeks previously, So there was a time where

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<v Speaker 1>Tom was not automatically your friend if you were in

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<v Speaker 1>my Space at the very get go, which was unlikely

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<v Speaker 1>because that was really when the Universe crew themselves were

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<v Speaker 1>kind of launching things and testing it out. Uh, so, yeah,

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<v Speaker 1>he wasn't automatically your number one friend from right out

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<v Speaker 1>of the gate. MySpace introduced a few things that would

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<v Speaker 1>carry over into some other social networks, so some of

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<v Speaker 1>the stuff that my Space came up with would become

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<v Speaker 1>the bread and butter of social networks moving forward. For

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<v Speaker 1>one thing, while you could have dozens of friends, only

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<v Speaker 1>eight would appear on your profile page itself, like you

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<v Speaker 1>would have a list of your top eight friends on

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<v Speaker 1>your profile page, and you could select who appeared in

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<v Speaker 1>that list of eight. The rest of your friends people

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<v Speaker 1>would have to see by clicking through to your friends

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<v Speaker 1>list itself so they could view other friends. It's just

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<v Speaker 1>that these eight would be the ones that would be

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<v Speaker 1>featured on your profile page. So being one of someone's

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<v Speaker 1>top eight spaces became kind of like a popularity contest

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<v Speaker 1>or a status symbol. Weird. Al Yankovic would reference this

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<v Speaker 1>in his song White and Nerdy, which was a a

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<v Speaker 1>parody of millionaires writing dirty. So yeah, if you want

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<v Speaker 1>to listen to a dated tech reference, actually several of them,

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<v Speaker 1>you can listen to that parody song. But you might say, well,

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<v Speaker 1>how did my space even become a thing? How did

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<v Speaker 1>it start to become popular enough? Where being in these

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<v Speaker 1>top eight spaces was important? Because news sites and services

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<v Speaker 1>don't magically become popular instantaneously, right, They have to attract

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<v Speaker 1>a user base. There has to be a beginning to it.

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<v Speaker 1>Otherwise we can't get to the point where two friends

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<v Speaker 1>get into a real life argument because one of them

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<v Speaker 1>isn't in the other's top eight spaces on my Space. Well,

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<v Speaker 1>this gets back to the universe see the my Space

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<v Speaker 1>project began at that company, it didn't spin off to

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<v Speaker 1>be its own thing. This, by the way, is one

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<v Speaker 1>of the features of my Space that would later be

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<v Speaker 1>cited as a big mistake that it started at under

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<v Speaker 1>a Universe. And the reason why I say it would

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<v Speaker 1>be called a big mistake later on is that the

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<v Speaker 1>creators of MySpace didn't have ownership over my Space. So

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<v Speaker 1>when it was eventually bought out, which we will get to,

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<v Speaker 1>the creators did not get massive payouts, at least not

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<v Speaker 1>to the level they would have if they had spun

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<v Speaker 1>off MySpace as an independent project. So it started off

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<v Speaker 1>at the Universe. But one benefit of that was that

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<v Speaker 1>the Universe had a pretty big user base, like twenty

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<v Speaker 1>million email subscribers, so the Universe could lean on that

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<v Speaker 1>subscriber list to send out invitations to join my Space,

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<v Speaker 1>So they already had access to a potential audience and

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<v Speaker 1>that was a big benefit. So this was a real

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<v Speaker 1>project the Universe, I mean the entire hierarchy. Even Brad Greenspan,

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<v Speaker 1>who was the CEO and chairman of the Universe, was

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<v Speaker 1>in on this. So they ended up inviting the Universe

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<v Speaker 1>customers to join my Space and that helped get a

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<v Speaker 1>lot of of folks over And you have to remember,

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<v Speaker 1>in these early days of social networks, some of the

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<v Speaker 1>networks were hitting a peak of around two or three

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<v Speaker 1>million people, right, so that was considered a huge success

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<v Speaker 1>if you had a couple million users. But because the

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<v Speaker 1>universe already had access to like twenty million people, it

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<v Speaker 1>gave my Space a huge leg up, and so very

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<v Speaker 1>quickly my Space became the number one social network on

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<v Speaker 1>the web. You could argue part of that was because

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<v Speaker 1>of the lack of competition, but either way, it became

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<v Speaker 1>number one, and this really became a big deal. When

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<v Speaker 1>the site made a key change to how it operated,

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<v Speaker 1>it would really increase effic to the site. So originally

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<v Speaker 1>on my Space, the only people who could view your

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<v Speaker 1>profile page were people that you had designated as you

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<v Speaker 1>are friends. So you had to do like a friend

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<v Speaker 1>request and accept it, and at that point forward your

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<v Speaker 1>friend would be able to view your profile. But before

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<v Speaker 1>that they would not. They would just have to try

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<v Speaker 1>and contact you to see if you would become their friend.

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<v Speaker 1>The change in the spring of two thousand four was

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<v Speaker 1>that the site made all member profiles publicly viewable, and

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<v Speaker 1>that would mean that there would be a ton more

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<v Speaker 1>traffic going to my Space, which made it one of

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<v Speaker 1>the most popular sites in the web at that time.

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<v Speaker 1>Another thing that made my Space really popular is that

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<v Speaker 1>there was a pretty lax approach to content moderation, So

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<v Speaker 1>things got a little, you know, raunchy on my Space,

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<v Speaker 1>more so than you would see in later social networks.

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<v Speaker 1>It wasn't outright like bedlam Or or Solomon god Mora

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<v Speaker 1>or anything like that. It wasn't, you know, this crazy

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<v Speaker 1>hedonistic landscape, but things could get a little more racy

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<v Speaker 1>on the early MySpace. Now, year after my Space debuted,

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<v Speaker 1>we got Facebook, which obviously will play a huge part

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<v Speaker 1>in this episode when we get to the second half

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<v Speaker 1>of it. Really and in early two thousand five, when

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<v Speaker 1>Facebook had just launched the year before, my Space allegedly

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<v Speaker 1>attempted to buy out this competing social network. Keep in mind,

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<v Speaker 1>Facebook in two thousand five was a very different thing

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<v Speaker 1>than Facebook today. It was just Facebook, and it was

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<v Speaker 1>really restricted to college students and maybe high school students.

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<v Speaker 1>By two thousand five, and according to Julia Angwin's book

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<v Speaker 1>about the history of my Space, the MySpace reps came

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<v Speaker 1>to Zuckerberg, the head of Facebook, Mark Zuckerberg, that is,

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<v Speaker 1>and they offered to acquire Facebook, and Mark Zuckerberg quoted

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<v Speaker 1>them a price of seventy million dollars and that my

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<v Speaker 1>Space just said like, no, that's unreal estate, that's way

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<v Speaker 1>too much money. We're good, and they walked away from

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<v Speaker 1>the deal. Now, in hindsight, this would be a very

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<v Speaker 1>bad decision, like if my Space had bought Facebook, things

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<v Speaker 1>might may have turned out at least somewhat differently, But

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<v Speaker 1>at the time they had no way of knowing that,

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<v Speaker 1>so it's not like you can really blame them. They

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<v Speaker 1>just saw Facebook as a small time competitor. And besides that,

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<v Speaker 1>you could argue that this my Space decision was overshadowed

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<v Speaker 1>by a much larger, worse decision that was made later on,

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<v Speaker 1>So Facebook was not the only possible acquisition or merger

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<v Speaker 1>opportunity early on in my Space's history. Both match net

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<v Speaker 1>and Viacom showed early interest in acquiring my Space in

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<v Speaker 1>two thousand four, offering somewhere in the neighborhood of forty

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<v Speaker 1>million dollars, and my Space turned down those offers. So

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<v Speaker 1>my Space did the same thing, you know that they

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<v Speaker 1>were like, we're not going to sell for forty million,

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<v Speaker 1>we feel we're worth more than that. And then, of

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<v Speaker 1>course Zuckerberg had a very similar attitude in two thousand five,

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<v Speaker 1>saying he felt Facebook's value with seventy five million, and

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<v Speaker 1>my Space was like, no, I don't. I don't think so.

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<v Speaker 1>So my Space and Friendster looked at a potential merger,

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<v Speaker 1>but they couldn't come to an agreement on that, so

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<v Speaker 1>ultimately that that fell through. But in June two thousand five,

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<v Speaker 1>a buyer with extremely deep pockets came a call in

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<v Speaker 1>and made my Space an offer it couldn't refuse. And

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<v Speaker 1>that caller was News Corporation or news Corps, the company

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<v Speaker 1>that at the time owned the Fox Entertainment Group and

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<v Speaker 1>several publishing and media concerns. It was run by Rupert Murdoch,

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<v Speaker 1>and the company came to my Space and made an

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<v Speaker 1>offer of five hundred eighty million in dollars. When you

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<v Speaker 1>get an offer that is more than ten times larger

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<v Speaker 1>than offers you got just a year earlier, stuff has

0:14:10.559 --> 0:14:15.520
<v Speaker 1>seriously changed, but it was on the precipice of changing

0:14:16.200 --> 0:14:21.000
<v Speaker 1>even more to a disastrous degree, which we will talk

0:14:21.040 --> 0:14:25.080
<v Speaker 1>about in just a moment. But first let's take a

0:14:25.200 --> 0:14:37.000
<v Speaker 1>quick break Okay, before the break, we had just got

0:14:37.040 --> 0:14:39.800
<v Speaker 1>to the point where news Corps acquired my Space for

0:14:39.920 --> 0:14:43.800
<v Speaker 1>five eight million dollars. After the acquisition, a few of

0:14:43.800 --> 0:14:46.400
<v Speaker 1>the folks at my Space actually stayed on and they

0:14:46.840 --> 0:14:49.240
<v Speaker 1>got huge paychecks. Were doing so so while they didn't

0:14:49.280 --> 0:14:52.800
<v Speaker 1>necessarily get an enormous payout because of the lack of

0:14:52.840 --> 0:14:56.160
<v Speaker 1>ownership of my Space, I mean, Brad Greenspan made out

0:14:56.200 --> 0:14:58.720
<v Speaker 1>really well, but a lot of the others didn't. Uh

0:14:58.880 --> 0:15:02.400
<v Speaker 1>some of them stayed on and they were getting massive

0:15:02.400 --> 0:15:05.480
<v Speaker 1>compensation packages from News Corps. So one of those people

0:15:05.520 --> 0:15:08.560
<v Speaker 1>was Dwolf, who met with Zuckerberg again in two thousand

0:15:08.600 --> 0:15:13.880
<v Speaker 1>five and again wanted to make an offer to acquire Facebook. Right.

0:15:14.120 --> 0:15:17.240
<v Speaker 1>Remember in two thousand four they had asked and we're

0:15:17.280 --> 0:15:20.120
<v Speaker 1>told sony five million. So what happened in two thousand five, Well,

0:15:20.160 --> 0:15:22.360
<v Speaker 1>this time Zuckerberg said, no, the price has gone up

0:15:22.360 --> 0:15:26.760
<v Speaker 1>now it's seven hundred fifty million. Obviously that didn't happen,

0:15:26.880 --> 0:15:30.840
<v Speaker 1>So once again, my Space walks away and decides not

0:15:30.960 --> 0:15:35.080
<v Speaker 1>to purchase Facebook. Within a short while, my Space became

0:15:35.120 --> 0:15:38.800
<v Speaker 1>the most visited site on the web, beating out Yahoo

0:15:38.840 --> 0:15:43.160
<v Speaker 1>and Google. It also landed a nearly one billion dollar

0:15:43.280 --> 0:15:47.200
<v Speaker 1>ad deal with Google, which meant that my spaces website

0:15:47.280 --> 0:15:51.360
<v Speaker 1>real estate would be peppered with ads served up through Google.

0:15:51.760 --> 0:15:55.680
<v Speaker 1>On the site, Facebook was gaining momentum, but was still

0:15:55.720 --> 0:15:58.440
<v Speaker 1>seen as being a second you know, also ran like

0:15:58.520 --> 0:16:02.800
<v Speaker 1>it's distant second, partly because, as we'll talk about later on,

0:16:02.880 --> 0:16:06.200
<v Speaker 1>the site was initially catering to students but not the

0:16:06.200 --> 0:16:08.920
<v Speaker 1>public at large. And by two thousand seven we were

0:16:09.040 --> 0:16:12.040
<v Speaker 1>entering into a new era of social networks, the network

0:16:12.160 --> 0:16:18.240
<v Speaker 1>as a platform for developers. Facebook had actually already pioneered this,

0:16:18.560 --> 0:16:21.440
<v Speaker 1>and other social networks were trying to play catch up

0:16:21.560 --> 0:16:24.760
<v Speaker 1>to create a way for developers to make things that

0:16:24.800 --> 0:16:27.520
<v Speaker 1>could run on top of social networks that users could

0:16:27.520 --> 0:16:32.240
<v Speaker 1>tap into that would augment their experience in some way.

0:16:32.280 --> 0:16:35.720
<v Speaker 1>So this is a really important thing to consider. You know,

0:16:35.800 --> 0:16:39.440
<v Speaker 1>initially everything you encountered on social networks came pretty much

0:16:39.480 --> 0:16:43.000
<v Speaker 1>from the network itself, right You generated the content, but

0:16:43.080 --> 0:16:46.520
<v Speaker 1>all the tools, all the assets that you could use

0:16:46.560 --> 0:16:51.240
<v Speaker 1>to build out your profile, those were provided by whatever

0:16:51.280 --> 0:16:56.720
<v Speaker 1>the social network was. But otherwise that you were limited.

0:16:57.720 --> 0:17:00.520
<v Speaker 1>As these sites evolved, it became possible for third party

0:17:00.560 --> 0:17:04.000
<v Speaker 1>developers to build applications that could use the social network

0:17:04.200 --> 0:17:08.280
<v Speaker 1>as a foundation, so you can get stuff like games

0:17:08.480 --> 0:17:12.000
<v Speaker 1>or new ways to interact with other users. But in turn,

0:17:12.080 --> 0:17:14.800
<v Speaker 1>that was leading to a problem because the landscape was

0:17:14.960 --> 0:17:17.080
<v Speaker 1>terribly fractured. You have to keep in mind by this

0:17:17.200 --> 0:17:21.560
<v Speaker 1>time they were like a dozen or so social networks

0:17:21.600 --> 0:17:24.159
<v Speaker 1>out there. Now there were two really big ones. There

0:17:24.240 --> 0:17:28.080
<v Speaker 1>was my Space and Facebook, which was growing rapidly. Those

0:17:28.119 --> 0:17:32.560
<v Speaker 1>were very easy to spot, so you would understand that

0:17:32.640 --> 0:17:36.360
<v Speaker 1>developers would try to make stuff for those those platforms,

0:17:37.040 --> 0:17:39.760
<v Speaker 1>But there were tons of other social networks out there too,

0:17:39.840 --> 0:17:42.800
<v Speaker 1>including some that we've talked about in the last episode

0:17:42.800 --> 0:17:45.720
<v Speaker 1>like high five and some that we'll talk about in

0:17:45.960 --> 0:17:50.520
<v Speaker 1>the next episode. But without a common framework to rely

0:17:50.680 --> 0:17:53.679
<v Speaker 1>upon for developers, it would mean that developers would have

0:17:53.720 --> 0:17:56.800
<v Speaker 1>to pick and choose which platforms they would develop four

0:17:57.359 --> 0:18:01.320
<v Speaker 1>Otherwise they would have to build the same app numerous times,

0:18:01.359 --> 0:18:04.120
<v Speaker 1>so that would work on each and every social network.

0:18:04.840 --> 0:18:09.199
<v Speaker 1>That's an enormous time sinc and waste of energy and money.

0:18:09.760 --> 0:18:12.719
<v Speaker 1>The same sort of thing happens with game development, right Like,

0:18:13.400 --> 0:18:16.560
<v Speaker 1>ideally you develop a game for all platforms so that

0:18:16.600 --> 0:18:21.320
<v Speaker 1>you're available everywhere, but that's a huge commitment to do that.

0:18:21.720 --> 0:18:25.119
<v Speaker 1>You know, if you want, you could sign an exclusivity

0:18:25.160 --> 0:18:28.560
<v Speaker 1>deal and then you developed just for one platform. You've

0:18:28.560 --> 0:18:32.439
<v Speaker 1>limited your audience, but you've also restricted the amount of

0:18:32.440 --> 0:18:35.080
<v Speaker 1>work you're going to have to do to make it happen. Well,

0:18:35.200 --> 0:18:39.400
<v Speaker 1>to sidestep this problem of the fractured landscape, Google spearheaded

0:18:39.680 --> 0:18:43.080
<v Speaker 1>the Open Social Alliance that brought together a bunch of

0:18:43.080 --> 0:18:48.480
<v Speaker 1>different social networks, but not most notably Facebook, and they

0:18:48.520 --> 0:18:51.920
<v Speaker 1>were trying to build a set of software development standards

0:18:51.920 --> 0:18:56.119
<v Speaker 1>for social networks so that developers could use a common

0:18:56.160 --> 0:19:01.480
<v Speaker 1>set of tools to develop things for multiple networks time. Now,

0:19:01.600 --> 0:19:03.360
<v Speaker 1>part of that might have been because at this point

0:19:03.400 --> 0:19:05.439
<v Speaker 1>it was becoming obvious that Facebook was going to be

0:19:05.480 --> 0:19:09.920
<v Speaker 1>a big existential threat because it was growing considerably. And

0:19:10.000 --> 0:19:13.359
<v Speaker 1>the next year, in two thousand and eight, Facebook overtook

0:19:13.680 --> 0:19:17.480
<v Speaker 1>MySpace in web traffic, and within another year it had

0:19:17.520 --> 0:19:22.040
<v Speaker 1>overtook my Space and unique visitors. People began to migrate

0:19:22.160 --> 0:19:25.600
<v Speaker 1>from my Space to Facebook. On top of that, my

0:19:25.680 --> 0:19:29.359
<v Speaker 1>Space was facing a lot of other problems. It wasn't

0:19:29.400 --> 0:19:32.200
<v Speaker 1>just that people were jumping shut from my Space to Facebook,

0:19:32.200 --> 0:19:34.520
<v Speaker 1>although that was a big part of it. There were

0:19:34.800 --> 0:19:37.919
<v Speaker 1>lawsuits against my Space that were stemming from some really

0:19:38.720 --> 0:19:42.320
<v Speaker 1>serious and dark issues. One was that various U. S.

0:19:42.359 --> 0:19:47.000
<v Speaker 1>Attorneys General had discovered numerous registered sex offenders who were

0:19:47.040 --> 0:19:51.040
<v Speaker 1>creating profiles on my Space, presumably with an intent to

0:19:52.000 --> 0:19:57.240
<v Speaker 1>uh to continue praying upon victims. So my Space also

0:19:57.280 --> 0:20:01.280
<v Speaker 1>became associated with some really really dark stuff like child

0:20:01.280 --> 0:20:05.480
<v Speaker 1>predators as well as there was an infamous suicide case

0:20:05.920 --> 0:20:09.600
<v Speaker 1>where a thirteen year old user of my Space was

0:20:09.680 --> 0:20:15.360
<v Speaker 1>the target of online abuse which was supposedly coming from

0:20:15.359 --> 0:20:19.080
<v Speaker 1>a teenage boy, but in fact was coming from a

0:20:19.160 --> 0:20:23.119
<v Speaker 1>grown woman, and she, this thirteen year old took her

0:20:23.119 --> 0:20:26.240
<v Speaker 1>own life. It was a true tragedy. Megan Meyer, I

0:20:26.240 --> 0:20:30.399
<v Speaker 1>will never forget that story. It was absolutely heartbreaking, and

0:20:30.560 --> 0:20:34.239
<v Speaker 1>that became associated with my Space. It was really an

0:20:34.280 --> 0:20:38.240
<v Speaker 1>early indication of how content moderation and community policies were

0:20:38.240 --> 0:20:42.040
<v Speaker 1>going to be critical for social networks moving forward, and

0:20:42.080 --> 0:20:45.840
<v Speaker 1>in fact, to this day we see conversations around content

0:20:45.960 --> 0:20:50.199
<v Speaker 1>moderation and policies being enforced and all of that kind

0:20:50.240 --> 0:20:53.560
<v Speaker 1>of stuff coming to the forefront. I mean, it's definitely

0:20:53.800 --> 0:20:55.760
<v Speaker 1>a big part of the conversation of what's going on

0:20:55.840 --> 0:20:59.480
<v Speaker 1>over at Twitter right now. So this is this is

0:20:59.520 --> 0:21:03.399
<v Speaker 1>something that we continue to struggle with today. Now. My

0:21:03.480 --> 0:21:08.720
<v Speaker 1>Space also had overextended itself and invested millions of dollars

0:21:08.760 --> 0:21:13.119
<v Speaker 1>into features that users weren't necessarily interested in, some of

0:21:13.160 --> 0:21:15.359
<v Speaker 1>which they might not have even been aware of simply

0:21:15.400 --> 0:21:18.119
<v Speaker 1>because they were hard to find um or in some

0:21:18.160 --> 0:21:20.679
<v Speaker 1>cases it was just because that's not why they created

0:21:20.720 --> 0:21:23.320
<v Speaker 1>a MySpace profile, so you know, there was no reason

0:21:23.359 --> 0:21:26.679
<v Speaker 1>for them to to explore these other features. But a

0:21:26.720 --> 0:21:32.119
<v Speaker 1>big one was the MySpace Music feature. MySpace had always

0:21:32.119 --> 0:21:34.280
<v Speaker 1>been kind of connected to music. I mean, one of

0:21:34.320 --> 0:21:36.679
<v Speaker 1>the things that my Space was used for from the

0:21:36.760 --> 0:21:41.040
<v Speaker 1>very beginning was to promote bands. So there were bands

0:21:41.040 --> 0:21:44.439
<v Speaker 1>out there that had uploaded their own music to my

0:21:44.560 --> 0:21:47.679
<v Speaker 1>Space so that people could discover them. Heck, one of

0:21:47.680 --> 0:21:50.679
<v Speaker 1>the bands that I followed quite a bit in the

0:21:50.800 --> 0:21:54.400
<v Speaker 1>early early to mid two thousand's uh, the Velvet Chain.

0:21:55.160 --> 0:21:59.800
<v Speaker 1>They had their own uh MySpace page that promoted their music,

0:22:00.080 --> 0:22:02.760
<v Speaker 1>and I had seen them play live a few times,

0:22:02.760 --> 0:22:06.680
<v Speaker 1>and so I was an avid follower of their their

0:22:06.720 --> 0:22:08.879
<v Speaker 1>profile page because I got to learn about new music

0:22:08.920 --> 0:22:11.360
<v Speaker 1>and new tours they were doing and that kind of thing.

0:22:12.359 --> 0:22:15.880
<v Speaker 1>So you could incorporate music into your profile pretty early

0:22:15.920 --> 0:22:20.160
<v Speaker 1>on with my Space, but this music feature, which included

0:22:20.200 --> 0:22:23.359
<v Speaker 1>agreements with three of the big four music labels Sony,

0:22:23.359 --> 0:22:26.960
<v Speaker 1>b MG, Warner Music Group, and Universal Music Group, would

0:22:27.040 --> 0:22:33.119
<v Speaker 1>let users MySpace users download music from these different you know,

0:22:33.240 --> 0:22:36.920
<v Speaker 1>publishers directly through my Space, Like you could make your

0:22:36.920 --> 0:22:39.560
<v Speaker 1>purchases and all that through my Space, you didn't have

0:22:39.600 --> 0:22:45.760
<v Speaker 1>to go to some other um online marketplace. But one,

0:22:45.920 --> 0:22:49.639
<v Speaker 1>it was arguable that users weren't terribly interested in doing

0:22:49.680 --> 0:22:51.879
<v Speaker 1>this through my Space anyway. And two it was not

0:22:52.040 --> 0:22:55.040
<v Speaker 1>easy to even find the darn thing. And three they

0:22:55.040 --> 0:22:59.320
<v Speaker 1>had some technical issues pretty early on that marred the feature.

0:23:00.640 --> 0:23:03.440
<v Speaker 1>Then there was a massive change of the guard at

0:23:03.440 --> 0:23:09.400
<v Speaker 1>my Space. Uh, the CEO and president were essentially removed,

0:23:09.440 --> 0:23:12.520
<v Speaker 1>so that was like de Wolf and Tom Anderson and

0:23:12.640 --> 0:23:16.239
<v Speaker 1>a former Facebook executive was brought in to kind of

0:23:16.680 --> 0:23:20.800
<v Speaker 1>fixed things. Uh. That executive would then go about laying

0:23:20.800 --> 0:23:24.800
<v Speaker 1>off around thirty of all my Space employees. So that

0:23:24.880 --> 0:23:29.159
<v Speaker 1>was tough. And around this same time, Google's nine million

0:23:29.200 --> 0:23:34.399
<v Speaker 1>dollar ad deal expired, so you also had my Space

0:23:34.520 --> 0:23:38.280
<v Speaker 1>falling behind Facebook, and it had just lost its major

0:23:38.359 --> 0:23:42.679
<v Speaker 1>source of revenue because this ad deal has expired, and

0:23:42.680 --> 0:23:45.520
<v Speaker 1>and it also launched lost a healthy chunk of its workforce.

0:23:46.520 --> 0:23:48.480
<v Speaker 1>A lot of bad things were hitting by Space all

0:23:48.480 --> 0:23:53.679
<v Speaker 1>at the same time, and you also had stories about

0:23:53.680 --> 0:23:57.720
<v Speaker 1>a really bad company culture. And and in the wake

0:23:57.800 --> 0:24:01.280
<v Speaker 1>of things like uby Soft and a division Blizzard, where

0:24:01.320 --> 0:24:04.520
<v Speaker 1>we've heard about truly toxic environments, it doesn't sound to

0:24:04.560 --> 0:24:09.120
<v Speaker 1>me like my Space was that kind of bad work culture.

0:24:09.480 --> 0:24:11.880
<v Speaker 1>I mean, maybe that was going on too, but what

0:24:11.960 --> 0:24:16.400
<v Speaker 1>was being reported was that under the ownership of News Corps,

0:24:16.840 --> 0:24:21.480
<v Speaker 1>my spaces corporate culture got very much bogged down with bureaucracy,

0:24:21.640 --> 0:24:24.480
<v Speaker 1>and so it was very hard to innovate and it

0:24:24.560 --> 0:24:27.520
<v Speaker 1>was hard to move quickly, and so everything in my

0:24:27.600 --> 0:24:30.360
<v Speaker 1>Space was bogged down, and there were departments that were

0:24:30.359 --> 0:24:34.840
<v Speaker 1>working at cross purposes with each other, and it was

0:24:34.880 --> 0:24:38.560
<v Speaker 1>just a very frustrating experience trying to get stuff done.

0:24:38.720 --> 0:24:43.160
<v Speaker 1>From what I understand, maybe there were the toxicity problems too,

0:24:43.240 --> 0:24:46.080
<v Speaker 1>but that was not really heavily reported on. This was

0:24:46.119 --> 0:24:51.280
<v Speaker 1>also before the Me Too movement, so that's part of it. Uh. Anyway,

0:24:51.560 --> 0:24:54.840
<v Speaker 1>things over the next couple of years got worse and worse,

0:24:54.840 --> 0:24:57.920
<v Speaker 1>and by two thousand and eleven it was really grim.

0:24:57.960 --> 0:25:01.560
<v Speaker 1>My space was a shadow of what it had once been.

0:25:02.040 --> 0:25:06.000
<v Speaker 1>So News Corps made the decision to cut ties. It's

0:25:06.040 --> 0:25:10.280
<v Speaker 1>sold off my Space for thirty five million dollars. Now,

0:25:10.320 --> 0:25:14.280
<v Speaker 1>remember this is the same company that News Corps had

0:25:14.320 --> 0:25:18.040
<v Speaker 1>bought for five hundred eighty million dollars just a few

0:25:18.160 --> 0:25:22.600
<v Speaker 1>years earlier, and that is probably the biggest worst decision

0:25:22.680 --> 0:25:25.879
<v Speaker 1>in my Space's history. You can actually make an argument

0:25:25.920 --> 0:25:29.120
<v Speaker 1>for several other bad decisions that led to the company's downfall,

0:25:29.160 --> 0:25:33.480
<v Speaker 1>but you frequently will hear about news corps purchase of

0:25:33.520 --> 0:25:36.879
<v Speaker 1>MySpace being one of the worst acquisitions in the text

0:25:37.240 --> 0:25:40.439
<v Speaker 1>space of all time. It's it's right up there with

0:25:40.520 --> 0:25:44.120
<v Speaker 1>things like the A. O. L. Time Warner merger. Actually,

0:25:44.680 --> 0:25:47.360
<v Speaker 1>pretty much everything that has to do with Warner at

0:25:47.359 --> 0:25:50.760
<v Speaker 1>this point has a lot of people saying, yeah, Warner

0:25:50.880 --> 0:25:55.320
<v Speaker 1>just kind of had a lot of of bad deals

0:25:55.320 --> 0:25:59.040
<v Speaker 1>to bad deals situations going on, But yeah, my Space

0:25:59.119 --> 0:26:02.480
<v Speaker 1>and news Corps that always ends up being at the

0:26:02.480 --> 0:26:07.440
<v Speaker 1>top of these conversations. Now, my Space sort of disappeared

0:26:07.800 --> 0:26:10.520
<v Speaker 1>after that for a couple of years, like it was

0:26:10.640 --> 0:26:15.480
<v Speaker 1>essentially gone after the sale from news Corps, and it

0:26:15.560 --> 0:26:18.639
<v Speaker 1>re emerged in two thousand thirteen. Justin timber Lake was

0:26:18.680 --> 0:26:22.520
<v Speaker 1>a big part of the rebranding of my Space, and

0:26:22.840 --> 0:26:26.000
<v Speaker 1>it was coming out more as a music discovery site.

0:26:26.280 --> 0:26:29.760
<v Speaker 1>It was less about being a social network. I guess

0:26:29.760 --> 0:26:32.000
<v Speaker 1>the view was at that point that Facebook had pretty

0:26:32.080 --> 0:26:34.800
<v Speaker 1>much sewned that up and it didn't make sense to

0:26:34.840 --> 0:26:38.639
<v Speaker 1>try and bring that back to my Space. Instead, it

0:26:38.680 --> 0:26:41.879
<v Speaker 1>was more about people who loved music being able to

0:26:41.960 --> 0:26:46.440
<v Speaker 1>find new music that they would come to love. And

0:26:47.320 --> 0:26:51.040
<v Speaker 1>this version of my Space more or less still exists today.

0:26:51.160 --> 0:26:55.280
<v Speaker 1>Um it's it has changed looks a few times since

0:26:55.280 --> 0:26:59.040
<v Speaker 1>two thousand thirteen. It also looks to me like my

0:26:59.160 --> 0:27:01.879
<v Speaker 1>Space doesn't get frequent updates because like one of the

0:27:01.960 --> 0:27:05.640
<v Speaker 1>articles I saw featured on the front page of MySpace

0:27:05.680 --> 0:27:08.520
<v Speaker 1>dot com looks like it was more than a year old.

0:27:09.160 --> 0:27:13.800
<v Speaker 1>So if one of the news articles on your homepage,

0:27:14.160 --> 0:27:16.920
<v Speaker 1>like your landing page for your site, is more than

0:27:16.960 --> 0:27:20.320
<v Speaker 1>a year old, uh, that's a bad indication of how

0:27:20.359 --> 0:27:25.359
<v Speaker 1>things are going at your website if it is positioned

0:27:25.400 --> 0:27:29.480
<v Speaker 1>as news. Right. Also, there was like a massive issue

0:27:29.520 --> 0:27:31.800
<v Speaker 1>there was a server migration a couple of years back

0:27:32.240 --> 0:27:37.320
<v Speaker 1>where apparently everything that had been hosted on my Space

0:27:37.440 --> 0:27:42.560
<v Speaker 1>before two fift was lost, So all those user profiles,

0:27:42.600 --> 0:27:47.200
<v Speaker 1>all those photos, all those messages, everything it's all gone.

0:27:47.800 --> 0:27:51.520
<v Speaker 1>So that's an entire chunk of web history, of personal

0:27:51.560 --> 0:27:57.160
<v Speaker 1>history for all the MySpace users that is no longer accessible. Uh. Anyway,

0:27:57.240 --> 0:28:00.240
<v Speaker 1>that's the super short summary of my Space. I could

0:28:00.280 --> 0:28:05.239
<v Speaker 1>clearly do multiple episodes really detailing the rise, fall, and

0:28:05.359 --> 0:28:09.040
<v Speaker 1>rebirth of my Space. There's a lot more that went

0:28:09.080 --> 0:28:11.960
<v Speaker 1>into it. Uh. And I did spend more time on

0:28:12.000 --> 0:28:14.840
<v Speaker 1>my Space than some of the ones that I talked

0:28:14.880 --> 0:28:17.840
<v Speaker 1>about in episode one, because it played such an important

0:28:17.920 --> 0:28:21.440
<v Speaker 1>part in establishing social networks as not just a thing,

0:28:21.480 --> 0:28:24.199
<v Speaker 1>but one of the most popular and recognizable applications you

0:28:24.240 --> 0:28:29.000
<v Speaker 1>can find on the web. So we're done with my Space,

0:28:29.480 --> 0:28:36.520
<v Speaker 1>I'm gonna backtrack to my old timeline. See what's next? Uh? Right, Yeah,

0:28:36.840 --> 0:28:41.400
<v Speaker 1>next is Facebook. You know, there have been entire documentaries

0:28:41.720 --> 0:28:46.520
<v Speaker 1>and biopics about Facebook and Mark Zuckerberg, and goodness knows,

0:28:46.760 --> 0:28:51.120
<v Speaker 1>I've done a ton of episodes either specifically about Facebook

0:28:51.520 --> 0:28:55.800
<v Speaker 1>and later Meta, or episodes that were at least tangential

0:28:56.000 --> 0:28:59.680
<v Speaker 1>too Facebook and Meta and mentioned them heavily. I mean,

0:29:00.200 --> 0:29:03.560
<v Speaker 1>half the news episodes of this year ended up being

0:29:03.560 --> 0:29:07.920
<v Speaker 1>about at least partially Meta or Facebook. But I'm gonna

0:29:07.960 --> 0:29:11.200
<v Speaker 1>do it down in dirty summary of the company's history.

0:29:11.440 --> 0:29:14.719
<v Speaker 1>It will be the cliffs notes of cliffs notes versions

0:29:14.760 --> 0:29:17.360
<v Speaker 1>of that history, because it's going to take up the

0:29:17.360 --> 0:29:20.800
<v Speaker 1>rest of our episode. And you know, our third episode

0:29:20.800 --> 0:29:23.840
<v Speaker 1>will be picking up with companies like or Cut and Flicker,

0:29:24.400 --> 0:29:27.360
<v Speaker 1>you know, the ones you really care about. So when

0:29:27.440 --> 0:29:32.880
<v Speaker 1>we come back from the break, we'll start our almost

0:29:32.960 --> 0:29:36.560
<v Speaker 1>childishly simple summary of Facebook, which will take up the

0:29:36.600 --> 0:29:40.640
<v Speaker 1>rest of this episode. But first, before I dive into that,

0:29:41.320 --> 0:29:54.200
<v Speaker 1>let's take a quick break. All right, As many of

0:29:54.240 --> 0:29:59.080
<v Speaker 1>you undoubtedly know already, Facebook actually grew out of an

0:29:59.120 --> 0:30:04.400
<v Speaker 1>earlier app called face Mash, and this was the brainchild

0:30:05.080 --> 0:30:11.200
<v Speaker 1>of Mark Zuckerberg, the Internet's punching bag, one of them. Anyway,

0:30:11.880 --> 0:30:14.520
<v Speaker 1>for you know, justifiable reasons. I don't feel a whole

0:30:14.520 --> 0:30:16.920
<v Speaker 1>lot of sympathy for Mark Zuckerberg, if I'm being honest.

0:30:16.960 --> 0:30:20.920
<v Speaker 1>But anyway, he was attending Harvard University at the time,

0:30:21.280 --> 0:30:25.479
<v Speaker 1>and he was developing web stuff, web based stuff, and

0:30:25.520 --> 0:30:29.200
<v Speaker 1>he thought what the campus really needed was a website

0:30:29.200 --> 0:30:32.680
<v Speaker 1>where students could rate the attractiveness of other students. So

0:30:32.800 --> 0:30:35.480
<v Speaker 1>essentially he created a tool design to identify all the

0:30:35.520 --> 0:30:39.640
<v Speaker 1>hot girls at Harvard. Just figure it's really good for

0:30:39.680 --> 0:30:42.280
<v Speaker 1>us to start off with that understanding, because it really

0:30:42.320 --> 0:30:47.600
<v Speaker 1>informs a lot of what will follow. Like Facebook, It's

0:30:47.640 --> 0:30:51.720
<v Speaker 1>empire is huge today, enormous. But if you sit there

0:30:51.720 --> 0:30:54.360
<v Speaker 1>and you think, and and I realized this is reductive.

0:30:54.360 --> 0:30:56.440
<v Speaker 1>But if you sit there and think all of this

0:30:56.920 --> 0:31:02.120
<v Speaker 1>grew out of an app that I h raunchy college

0:31:02.160 --> 0:31:05.160
<v Speaker 1>student made in order to be able to rank how

0:31:05.200 --> 0:31:08.080
<v Speaker 1>hot girls were at his school, things make a lot

0:31:08.120 --> 0:31:12.920
<v Speaker 1>of sense. And again, I I understand it's reductive, but

0:31:12.960 --> 0:31:17.120
<v Speaker 1>I'm not apologizing for it. Anyway. Facemash lasted all of

0:31:17.440 --> 0:31:21.000
<v Speaker 1>two whole days before Harvard shut it down. Now, from

0:31:21.000 --> 0:31:24.120
<v Speaker 1>what I understand, the reason Harvard shut it down did

0:31:24.160 --> 0:31:27.320
<v Speaker 1>not really have to do with the facilitating of the

0:31:27.360 --> 0:31:32.840
<v Speaker 1>objectification of Harvard students. That really wasn't the big reason. Instead,

0:31:32.840 --> 0:31:36.440
<v Speaker 1>it was because Zuckerberg was using college resources without permission

0:31:36.560 --> 0:31:39.600
<v Speaker 1>to do it. So, yeah, we have to understand where

0:31:39.600 --> 0:31:42.719
<v Speaker 1>our priorities lie. And I am I am salty about this,

0:31:42.800 --> 0:31:47.360
<v Speaker 1>unapologetically salty, because I am so tired of people being

0:31:47.480 --> 0:31:54.600
<v Speaker 1>valued less than things, right than assets, or being equated

0:31:54.640 --> 0:31:57.960
<v Speaker 1>to assets. I'm just tired of it. People are people. Hey, y'all,

0:31:58.000 --> 0:32:02.120
<v Speaker 1>I love you. You are valuable, valuable people, all on

0:32:02.160 --> 0:32:06.200
<v Speaker 1>your own right. And you should always value yourself more

0:32:06.760 --> 0:32:10.760
<v Speaker 1>than things, and each other value each other more than things. Okay,

0:32:10.840 --> 0:32:14.280
<v Speaker 1>enough of that anyway, Zuckerberg, what he had done was

0:32:14.320 --> 0:32:18.600
<v Speaker 1>he essentially had hacked into the student I D database

0:32:18.880 --> 0:32:23.560
<v Speaker 1>to pull photos for Harvard students to populate face mash,

0:32:23.600 --> 0:32:25.960
<v Speaker 1>and that was against Harvard's policies. That's why I got

0:32:26.000 --> 0:32:29.760
<v Speaker 1>shut down. Now let's get back to business. I'll I'll

0:32:29.800 --> 0:32:32.320
<v Speaker 1>get out of my touchy feely persona for a bit.

0:32:33.400 --> 0:32:38.479
<v Speaker 1>Zuckerberg's initial idea gets shut down, and it received a

0:32:38.520 --> 0:32:41.040
<v Speaker 1>fairly strong response in the brief amount of time it

0:32:41.120 --> 0:32:45.120
<v Speaker 1>was online. So while it was you know, closed off,

0:32:45.840 --> 0:32:48.680
<v Speaker 1>it really sent the message to Zuckerberg that hey, I'm

0:32:48.720 --> 0:32:51.120
<v Speaker 1>onto something here, something that could be really popular. I

0:32:51.200 --> 0:32:54.480
<v Speaker 1>just need to retool it and not use school based

0:32:54.520 --> 0:32:59.920
<v Speaker 1>assets to do this, and we could be in business.

0:33:00.040 --> 0:33:02.120
<v Speaker 1>So he goes on to register a u r L

0:33:02.240 --> 0:33:06.080
<v Speaker 1>called the Facebook dot Com in early two thousand four.

0:33:06.880 --> 0:33:10.000
<v Speaker 1>He teams up with some fellow Harvard College students, among

0:33:10.040 --> 0:33:15.560
<v Speaker 1>them Dustin Makowitz, Chris Hughes, and Eduardo Savern and they

0:33:15.600 --> 0:33:19.720
<v Speaker 1>create a new social network with Zuckerberg being the primary developer.

0:33:20.280 --> 0:33:22.800
<v Speaker 1>Not first, the idea was to create a sort of

0:33:22.880 --> 0:33:28.720
<v Speaker 1>digital yearbook for Harvard students. When the Facebook as it

0:33:28.760 --> 0:33:32.560
<v Speaker 1>was originally known, launched in February two thousand four, Harvard

0:33:32.600 --> 0:33:35.800
<v Speaker 1>students could upload a photo of themselves and they could

0:33:35.800 --> 0:33:38.920
<v Speaker 1>fill out some basic information about themselves, including things like

0:33:38.960 --> 0:33:41.840
<v Speaker 1>their class load and schedule and that kind of stuff.

0:33:41.880 --> 0:33:45.760
<v Speaker 1>They could also browse through other student profiles, so it

0:33:45.840 --> 0:33:49.680
<v Speaker 1>was a way of reinforcing existing connections and building new ones,

0:33:50.360 --> 0:33:54.160
<v Speaker 1>and it naturally migrated to a social web approach that

0:33:54.200 --> 0:33:56.200
<v Speaker 1>we talked about in the previous episode, though it would

0:33:56.200 --> 0:33:59.080
<v Speaker 1>take a little time for that to happen because it

0:33:59.120 --> 0:34:03.240
<v Speaker 1>was a very basic service when it first launched. Now,

0:34:03.320 --> 0:34:08.000
<v Speaker 1>eventually the team expanded the Facebook to allow students at

0:34:08.080 --> 0:34:12.239
<v Speaker 1>Yale and Stanford to create their own profiles, but it

0:34:12.280 --> 0:34:15.720
<v Speaker 1>was still limited to just those schools. By the summer

0:34:15.760 --> 0:34:18.600
<v Speaker 1>of two thousand four, the Facebook had folks from more

0:34:18.600 --> 0:34:23.680
<v Speaker 1>than thirty different universities and colleges. As part of the Facebook,

0:34:24.440 --> 0:34:27.840
<v Speaker 1>you still needed a dot e d U email address

0:34:27.920 --> 0:34:30.640
<v Speaker 1>to join that would indicate that you were a student

0:34:30.800 --> 0:34:35.839
<v Speaker 1>or faculty member of a college reuniversity. Now, interestingly, it

0:34:35.880 --> 0:34:39.160
<v Speaker 1>wasn't until the fall of two thousand four that the

0:34:39.200 --> 0:34:43.839
<v Speaker 1>Facebook added what was called the Wall. This was a

0:34:43.880 --> 0:34:48.880
<v Speaker 1>part of the Facebook experience that would let friends post

0:34:49.040 --> 0:34:53.239
<v Speaker 1>to other profiles. So the wall was kind of like

0:34:53.280 --> 0:34:55.560
<v Speaker 1>a bulletin board where you could leave messages for other

0:34:55.719 --> 0:34:59.799
<v Speaker 1>users on their profile. And now the Facebook was more

0:34:59.840 --> 0:35:04.359
<v Speaker 1>than just a useful directory. It became a conduit for

0:35:04.400 --> 0:35:08.200
<v Speaker 1>communication between friends. This was a key element to the

0:35:08.200 --> 0:35:12.160
<v Speaker 1>site's early success, right, Like, it was more than just oh, hey,

0:35:12.200 --> 0:35:14.920
<v Speaker 1>I found my friend's profile and here's the classes that

0:35:15.000 --> 0:35:18.120
<v Speaker 1>they're going to. Now is a way of saying, oh,

0:35:18.320 --> 0:35:20.239
<v Speaker 1>I can go to my friend's profile and leave a

0:35:20.280 --> 0:35:22.560
<v Speaker 1>message like Hey, don't forget we're gonna go out for

0:35:22.600 --> 0:35:25.879
<v Speaker 1>pizza tomorrow night, or whatever it might be. In two

0:35:25.920 --> 0:35:30.239
<v Speaker 1>thousand five, the Facebook dropped the the from its name

0:35:30.440 --> 0:35:34.440
<v Speaker 1>and became just Facebook. It also allowed folks to tag

0:35:34.640 --> 0:35:37.759
<v Speaker 1>photos so that a picture could be associated with a

0:35:37.840 --> 0:35:42.320
<v Speaker 1>specific person, and now Facebook friends could see more photos

0:35:42.440 --> 0:35:46.440
<v Speaker 1>of themselves and of their own friends across the platform. Right, so,

0:35:47.120 --> 0:35:51.600
<v Speaker 1>maybe you are not friends with Bob, but Bob happens

0:35:51.640 --> 0:35:54.120
<v Speaker 1>to be a friend with Alice, and Alice is a

0:35:54.160 --> 0:35:57.080
<v Speaker 1>good friend of yours. And Bob posts a photo of

0:35:57.120 --> 0:36:00.279
<v Speaker 1>Alice and tags Alice in the photo, and now you

0:36:00.320 --> 0:36:02.720
<v Speaker 1>can see that photo because even though you're not friends

0:36:02.719 --> 0:36:05.160
<v Speaker 1>with Bob, you are friends with Alice, and so you

0:36:05.200 --> 0:36:08.000
<v Speaker 1>can see this photo that's been posted, and maybe that

0:36:08.040 --> 0:36:10.279
<v Speaker 1>means you meet Bob, and you and Bob hit it

0:36:10.320 --> 0:36:13.439
<v Speaker 1>off and you become friends. So this was really where

0:36:13.480 --> 0:36:17.360
<v Speaker 1>that social web thing was starting to seriously take hold,

0:36:17.760 --> 0:36:21.319
<v Speaker 1>and people were starting to discover new friendships as well

0:36:21.320 --> 0:36:25.520
<v Speaker 1>as reinforce existing ones. So again one of the key

0:36:25.640 --> 0:36:28.640
<v Speaker 1>elements of social networks. It all sounds very basic and

0:36:28.719 --> 0:36:31.799
<v Speaker 1>simple now because we've lived with it for more than

0:36:31.840 --> 0:36:36.600
<v Speaker 1>a decade, right, really like two decades almost, but at

0:36:36.600 --> 0:36:40.279
<v Speaker 1>the time this was one of those really big moments

0:36:40.320 --> 0:36:44.759
<v Speaker 1>that would set a foundational feature in social networks. Now.

0:36:44.760 --> 0:36:47.840
<v Speaker 1>Two thousand five would also see high school students joining

0:36:47.880 --> 0:36:52.040
<v Speaker 1>the site, and the following year Facebook lifted the student requirements,

0:36:52.040 --> 0:36:54.480
<v Speaker 1>so in two thousand and six it opened up the

0:36:54.520 --> 0:36:57.680
<v Speaker 1>site to the public at large. And I'm pretty sure

0:36:57.800 --> 0:37:01.279
<v Speaker 1>I held off on making my own Facebook account for

0:37:01.360 --> 0:37:04.120
<v Speaker 1>at least another year because I was not one of

0:37:04.160 --> 0:37:07.080
<v Speaker 1>the cool kids. Actually, I wasn't a kid at all,

0:37:07.120 --> 0:37:10.839
<v Speaker 1>because I graduated college in nine, so I was not

0:37:11.000 --> 0:37:17.400
<v Speaker 1>eligible for Facebook membership because Facebook was restricted to college

0:37:17.400 --> 0:37:19.480
<v Speaker 1>students and I hadn't been a student for years by

0:37:19.520 --> 0:37:23.040
<v Speaker 1>the time Facebook became a thing, So when it finally

0:37:23.080 --> 0:37:25.480
<v Speaker 1>did open up to the public, I did not join

0:37:25.880 --> 0:37:28.000
<v Speaker 1>as soon as I was allowed to. I was a

0:37:28.000 --> 0:37:32.240
<v Speaker 1>relative latecomer. I probably joined in like two thousand seven, baby,

0:37:32.360 --> 0:37:35.319
<v Speaker 1>two thousand and eight, Probably two thousand seven. It's hard

0:37:35.320 --> 0:37:37.719
<v Speaker 1>to say because I'm not on Facebook anymore, so I

0:37:37.719 --> 0:37:40.399
<v Speaker 1>can't really look back at my own history. But two

0:37:40.480 --> 0:37:43.360
<v Speaker 1>thousand seven was also when Facebook would hit one of

0:37:43.400 --> 0:37:46.600
<v Speaker 1>its early stumbling blocks, and one that would set a

0:37:46.680 --> 0:37:49.799
<v Speaker 1>tone that would stick with the company for years to come.

0:37:50.719 --> 0:37:56.040
<v Speaker 1>The site launched a feature called Beacon not Bacon, which

0:37:56.080 --> 0:37:58.359
<v Speaker 1>also was a huge trend on the web at the time.

0:37:58.640 --> 0:38:04.799
<v Speaker 1>No Beacon, and companies like retail companies, for example, could

0:38:04.840 --> 0:38:10.279
<v Speaker 1>participate in this Beacon program and incorporate it into their

0:38:10.360 --> 0:38:14.080
<v Speaker 1>online market places. And what this essentially was doing was

0:38:14.160 --> 0:38:19.399
<v Speaker 1>tracking and publishing user purchases on other sites. So let's

0:38:19.440 --> 0:38:22.239
<v Speaker 1>say you decided you wanted to buy a brand new

0:38:22.280 --> 0:38:26.520
<v Speaker 1>pair of sneakers, and this particular sneaker company participates in

0:38:26.520 --> 0:38:29.920
<v Speaker 1>the Beacon program, and so you make a purchase on

0:38:30.120 --> 0:38:34.040
<v Speaker 1>this company's website. Uh, you're doing it through the fact

0:38:34.080 --> 0:38:37.520
<v Speaker 1>that you're also logged into Facebook, and now that purchase

0:38:37.600 --> 0:38:40.960
<v Speaker 1>can be published to your Facebook profile, which lets everyone

0:38:41.040 --> 0:38:44.280
<v Speaker 1>know you've got a brand new pair of kicks. Well,

0:38:44.800 --> 0:38:46.799
<v Speaker 1>a lot of folks pretty quickly pointed out that this

0:38:46.880 --> 0:38:51.320
<v Speaker 1>service could really intrude upon a person's privacy. Like, maybe

0:38:51.600 --> 0:38:54.840
<v Speaker 1>what you're doing is buying a present for someone else,

0:38:55.320 --> 0:38:59.480
<v Speaker 1>but because of Beacon, you accidentally broadcast this purchase to

0:38:59.600 --> 0:39:02.800
<v Speaker 1>every and who visits your profile, perhaps you know, ruining

0:39:02.840 --> 0:39:06.920
<v Speaker 1>the surprise. Or maybe you're buying something that frankly is

0:39:07.000 --> 0:39:09.920
<v Speaker 1>just no one's business but your own. But whoopsie Daisy,

0:39:09.960 --> 0:39:12.799
<v Speaker 1>now it's on your Facebook profile and everyone can see it.

0:39:13.719 --> 0:39:18.520
<v Speaker 1>The negative reaction prompted Facebook too pretty quickly kill Beacon,

0:39:19.280 --> 0:39:22.640
<v Speaker 1>but users were now wary that Facebook wasn't going to

0:39:22.760 --> 0:39:27.080
<v Speaker 1>be super duper vigilant when it comes to protecting user privacy.

0:39:27.280 --> 0:39:31.399
<v Speaker 1>In fact, this would become undeniable in two thousand and ten.

0:39:31.880 --> 0:39:35.360
<v Speaker 1>That's when Mark Zuckerberg would famously declared an interview that

0:39:35.520 --> 0:39:41.080
<v Speaker 1>privacy was dead and sure he would definitely want privacy

0:39:41.120 --> 0:39:44.520
<v Speaker 1>to be dead because the more information that is shared

0:39:44.520 --> 0:39:48.640
<v Speaker 1>with Facebook, the more effectively Facebook can monetize that information

0:39:49.080 --> 0:39:55.000
<v Speaker 1>by developing a targeted advertising strategy. So, just in case

0:39:55.080 --> 0:39:59.680
<v Speaker 1>you're not familiar with targeted advertising, and it's hard for

0:39:59.719 --> 0:40:02.000
<v Speaker 1>me to imagine that these days, but it could happen, right,

0:40:02.040 --> 0:40:05.960
<v Speaker 1>Maybe you've just never encountered that phrase. Targeted advertising is

0:40:06.000 --> 0:40:09.640
<v Speaker 1>what it says it is. It involves matching advertisers or

0:40:09.680 --> 0:40:13.880
<v Speaker 1>ads with people who are most likely to respond to

0:40:14.080 --> 0:40:17.520
<v Speaker 1>those ads. And it could be as something as simple

0:40:17.520 --> 0:40:20.520
<v Speaker 1>as as noting that a person has listed fishing under

0:40:20.560 --> 0:40:24.040
<v Speaker 1>their interests. Right, So back in the day, when you

0:40:24.080 --> 0:40:26.640
<v Speaker 1>create a Facebook profile, you would include things that you

0:40:26.680 --> 0:40:30.399
<v Speaker 1>were interested in, activities and subjects you're interested in. Let's

0:40:30.400 --> 0:40:32.520
<v Speaker 1>say you put fishing in there, Well, that would tell

0:40:32.680 --> 0:40:35.520
<v Speaker 1>Facebook run away, Oh, this person likes fishing. You know.

0:40:35.800 --> 0:40:40.279
<v Speaker 1>We can partner with advertisers that are advertising stuff like

0:40:40.280 --> 0:40:43.920
<v Speaker 1>I don't know, fishing gear or phishing vacations, that kind

0:40:43.960 --> 0:40:46.520
<v Speaker 1>of stuff and serve that to this person who is

0:40:46.560 --> 0:40:50.240
<v Speaker 1>more likely to respond to those ads because they've already

0:40:50.239 --> 0:40:53.600
<v Speaker 1>indicated this is something that they are interested in. And

0:40:53.680 --> 0:40:58.000
<v Speaker 1>so we are matching ads to users which sees a

0:40:58.040 --> 0:41:01.080
<v Speaker 1>benefit across the board, at least in theory right, The

0:41:01.200 --> 0:41:05.160
<v Speaker 1>advertiser sees a benefit because people who are already disposed

0:41:05.239 --> 0:41:08.080
<v Speaker 1>to being interested in their product or service are going

0:41:08.080 --> 0:41:10.920
<v Speaker 1>to see the ad, and then the users are more

0:41:10.960 --> 0:41:14.360
<v Speaker 1>likely to see stuff that they will respond well to

0:41:14.719 --> 0:41:18.200
<v Speaker 1>and actually act on that otherwise maybe they wouldn't see.

0:41:19.120 --> 0:41:21.440
<v Speaker 1>So the idea is that everyone benefits. The problem is

0:41:21.880 --> 0:41:26.480
<v Speaker 1>really the biggest benefit or is Facebook, and they the

0:41:26.520 --> 0:41:31.520
<v Speaker 1>company becomes extremely interested in profiting off of personal information

0:41:31.560 --> 0:41:37.640
<v Speaker 1>as much as it possibly can, So Facebook could see

0:41:38.040 --> 0:41:41.960
<v Speaker 1>lots more data to match users with ads, more than

0:41:42.040 --> 0:41:45.600
<v Speaker 1>just what your interests are that are listed on your profile,

0:41:46.560 --> 0:41:49.480
<v Speaker 1>and Facebook, as a result, would be able to demand

0:41:49.680 --> 0:41:53.759
<v Speaker 1>higher rates to serve ads to users. They could They

0:41:53.800 --> 0:41:58.359
<v Speaker 1>could say, you know, our advertising service is far more

0:41:58.440 --> 0:42:01.480
<v Speaker 1>valuable than our competitors cause we have access to so

0:42:01.560 --> 0:42:06.960
<v Speaker 1>much information. The company wasn't satisfied with just knowing what

0:42:07.120 --> 0:42:10.120
<v Speaker 1>users were up to while they were on Facebook. They

0:42:10.160 --> 0:42:14.440
<v Speaker 1>invented a tool called Pixel, and Pixel is something that

0:42:14.600 --> 0:42:18.719
<v Speaker 1>other websites can install on the back end on their

0:42:18.760 --> 0:42:23.160
<v Speaker 1>website that helps them track user behavior. So they get

0:42:23.239 --> 0:42:26.839
<v Speaker 1>benefit from using Pixel, but some of that data also

0:42:26.840 --> 0:42:30.040
<v Speaker 1>gets sent back to Facebook itself, which in turn can

0:42:30.120 --> 0:42:33.800
<v Speaker 1>profit off that information. So now Facebook is able to

0:42:33.840 --> 0:42:37.080
<v Speaker 1>gather data not just on what people are doing on Facebook,

0:42:37.360 --> 0:42:41.360
<v Speaker 1>the social network, but across the entire web. Any website

0:42:41.480 --> 0:42:45.759
<v Speaker 1>that has a pixel installed on it is sending at

0:42:45.840 --> 0:42:48.600
<v Speaker 1>least some information back to Facebook, and in some cases

0:42:48.840 --> 0:42:52.000
<v Speaker 1>it could be a lot of information. Later on, they

0:42:52.040 --> 0:42:55.040
<v Speaker 1>would find out what people were doing on various apps

0:42:55.080 --> 0:42:59.799
<v Speaker 1>on smartphones. It would track smartphone use and so there

0:42:59.800 --> 0:43:03.919
<v Speaker 1>were are similar tracking systems used so that Facebook would

0:43:03.960 --> 0:43:06.800
<v Speaker 1>know what apps are you most frequently using, how long

0:43:06.840 --> 0:43:10.080
<v Speaker 1>are you on each app per day, what are you

0:43:10.160 --> 0:43:12.640
<v Speaker 1>doing when you go on your apps on your phone.

0:43:13.239 --> 0:43:16.000
<v Speaker 1>This was something that Apple would address a couple of

0:43:16.040 --> 0:43:19.560
<v Speaker 1>years ago now where they gave users the ability to

0:43:19.880 --> 0:43:24.080
<v Speaker 1>prevent companies like Facebook from seeing this kind of activity,

0:43:24.120 --> 0:43:30.160
<v Speaker 1>which was a massive blow to Facebook's revenue strategy, something

0:43:30.200 --> 0:43:34.759
<v Speaker 1>that Facebook has really objected to, which is understandable because again,

0:43:34.800 --> 0:43:38.439
<v Speaker 1>the company was so heavily dependent upon targeted advertising still

0:43:38.600 --> 0:43:43.960
<v Speaker 1>is so heavily depend on targeted advertising that anything that

0:43:43.960 --> 0:43:47.359
<v Speaker 1>that restricts targeted advertising even a little bit is a

0:43:47.440 --> 0:43:51.960
<v Speaker 1>blow to the company's revenue. So Apple's move was a

0:43:52.040 --> 0:43:56.760
<v Speaker 1>huge strike against meta slash Facebook. Uh. Also, we should

0:43:56.760 --> 0:44:01.320
<v Speaker 1>add that Apple itself doesn't seem to have to follow

0:44:01.560 --> 0:44:04.080
<v Speaker 1>the same rules that you know, third parties have to

0:44:04.120 --> 0:44:08.480
<v Speaker 1>follow on iOS devices. So some would argue that Apple

0:44:08.560 --> 0:44:11.719
<v Speaker 1>is giving itself a huge unfair advantage at least as

0:44:11.800 --> 0:44:16.319
<v Speaker 1>far as activity on mobile devices. That's a conversation that's

0:44:16.320 --> 0:44:20.640
<v Speaker 1>still playing out in the tech space. But anyway, this

0:44:20.719 --> 0:44:24.400
<v Speaker 1>really points to how Zuckerberg wants privacy to be dead,

0:44:24.800 --> 0:44:29.960
<v Speaker 1>because private information is what Facebook really profits off of.

0:44:30.560 --> 0:44:33.800
<v Speaker 1>Um personal information. I should say, not just private because

0:44:34.480 --> 0:44:37.760
<v Speaker 1>like if we say private, it suggests that we don't

0:44:37.800 --> 0:44:40.400
<v Speaker 1>share it with Facebook. That's not what Facebook wants. It

0:44:40.520 --> 0:44:44.160
<v Speaker 1>wants access to all the data it can get. So,

0:44:45.000 --> 0:44:47.759
<v Speaker 1>as we mentioned earlier, Facebook overtook my Space as the

0:44:47.880 --> 0:44:50.960
<v Speaker 1>number one social network in two thousand eight. It was

0:44:51.040 --> 0:44:53.560
<v Speaker 1>already ahead of the game and giving developers a chance

0:44:53.560 --> 0:44:57.000
<v Speaker 1>to build applications on top of Facebook because it introduced

0:44:57.040 --> 0:45:00.799
<v Speaker 1>its Application Programming Interface or ap I back in two

0:45:00.880 --> 0:45:04.440
<v Speaker 1>thousand and six, so it got ahead of the Open

0:45:04.520 --> 0:45:07.240
<v Speaker 1>Social Alliance. In fact, you could argue that the Open

0:45:07.280 --> 0:45:10.840
<v Speaker 1>Social Alliance was formed largely because Facebook was making these moves,

0:45:11.480 --> 0:45:15.040
<v Speaker 1>so games began to proliferate on Facebook, as did goofy

0:45:15.120 --> 0:45:19.320
<v Speaker 1>features like the old poke feature. You might not remember

0:45:19.360 --> 0:45:21.160
<v Speaker 1>this if you haven't been on Facebook in a while,

0:45:21.239 --> 0:45:23.960
<v Speaker 1>or maybe you've never been on Facebook, but back in

0:45:24.000 --> 0:45:28.440
<v Speaker 1>the day when they first introduced apps on Facebook, they

0:45:28.440 --> 0:45:31.840
<v Speaker 1>introduced the poke And this was a very simple feature

0:45:32.480 --> 0:45:35.799
<v Speaker 1>where you could choose one of your friends and you

0:45:35.840 --> 0:45:38.359
<v Speaker 1>could send a poke to them and they would get

0:45:38.360 --> 0:45:41.799
<v Speaker 1>a little notification that said so and so poked you,

0:45:42.360 --> 0:45:44.759
<v Speaker 1>and then they could poke you back. And this could

0:45:44.760 --> 0:45:46.719
<v Speaker 1>go back and forth. Right, You could send a poke,

0:45:47.000 --> 0:45:48.600
<v Speaker 1>they could send it back. You can send it back

0:45:48.600 --> 0:45:51.080
<v Speaker 1>to them, they could send it back. And it was

0:45:51.120 --> 0:45:54.359
<v Speaker 1>really just a little message letting you know someone had

0:45:54.400 --> 0:45:57.000
<v Speaker 1>poked you, or that you know they knew that you

0:45:57.040 --> 0:45:58.919
<v Speaker 1>had poked them. And that was it. That was all

0:45:58.960 --> 0:46:01.040
<v Speaker 1>there was to this little app. There was nothing more

0:46:01.080 --> 0:46:05.040
<v Speaker 1>to it. But of course we saw an emergent behavior

0:46:05.160 --> 0:46:07.959
<v Speaker 1>arise where the poke feature was used as a kind

0:46:08.000 --> 0:46:11.279
<v Speaker 1>of flirtatious message, or, if you want to be a

0:46:11.320 --> 0:46:14.040
<v Speaker 1>little more crude and cynical, an attempt to see if

0:46:14.040 --> 0:46:17.600
<v Speaker 1>someone wants to hook up. I mean, considering that Facebook's

0:46:17.600 --> 0:46:19.960
<v Speaker 1>origins date back to a site that lets students rate

0:46:20.040 --> 0:46:23.680
<v Speaker 1>how hot other students were. It's not really a huge

0:46:23.719 --> 0:46:28.000
<v Speaker 1>surprise that that that this would emerge as a way

0:46:28.000 --> 0:46:32.600
<v Speaker 1>to flirt or or feel out someone to see if

0:46:32.640 --> 0:46:36.799
<v Speaker 1>they would be receptive to perhaps a booty call. And yes,

0:46:36.840 --> 0:46:40.000
<v Speaker 1>I know how ridiculous it sounds for me to say

0:46:40.000 --> 0:46:44.280
<v Speaker 1>those words, but yeah, Anyway, a lot of other apps

0:46:44.280 --> 0:46:47.440
<v Speaker 1>would follow, and in the early days, Facebook wasn't too

0:46:47.560 --> 0:46:50.800
<v Speaker 1>terribly careful about the sorts of stuff these apps could

0:46:51.000 --> 0:46:56.839
<v Speaker 1>tap into. Like could these apps actually mine Facebook for information?

0:46:57.080 --> 0:47:00.440
<v Speaker 1>The answer is initially yeah. There were not a lot

0:47:00.480 --> 0:47:03.440
<v Speaker 1>of protections in place to prevent an app from tapping

0:47:03.440 --> 0:47:05.680
<v Speaker 1>into tons of information. This would lead to one of

0:47:05.680 --> 0:47:09.839
<v Speaker 1>the biggest scandals in the company's history that had its

0:47:09.840 --> 0:47:12.640
<v Speaker 1>origins back in two thousand thirteen, when a data scientist

0:47:12.719 --> 0:47:17.640
<v Speaker 1>named Alexander Cogan launched an app called This is Your

0:47:17.760 --> 0:47:23.120
<v Speaker 1>Digital Life. Okay, I'll explain why that was such a

0:47:23.160 --> 0:47:26.480
<v Speaker 1>big deal and how that developed into a huge scandal,

0:47:26.640 --> 0:47:31.080
<v Speaker 1>and then we'll conclude are our story about Facebook as

0:47:31.080 --> 0:47:33.640
<v Speaker 1>we look into a bit more of its history. But

0:47:33.719 --> 0:47:47.520
<v Speaker 1>first let's take one last break. Okay, So, Alexander Cogan

0:47:47.600 --> 0:47:50.319
<v Speaker 1>launches an app called This is Your Digital Life in

0:47:50.360 --> 0:47:54.160
<v Speaker 1>two thousand thirteen, and this app consisted of surveys that

0:47:54.200 --> 0:47:59.000
<v Speaker 1>were designed to build out psychological profiles of users, and

0:47:59.160 --> 0:48:02.120
<v Speaker 1>it was pitched as an app that was meant really

0:48:02.160 --> 0:48:05.920
<v Speaker 1>for academic use, that these psychological profiles were going to

0:48:05.920 --> 0:48:08.560
<v Speaker 1>be used for some academic purpose like maybe a research

0:48:08.640 --> 0:48:12.759
<v Speaker 1>paper or something. And further, people who agreed to use

0:48:12.760 --> 0:48:15.800
<v Speaker 1>the app would get compensated for participating in this study,

0:48:16.200 --> 0:48:20.319
<v Speaker 1>so there was an incentive to actually use it. You know,

0:48:20.560 --> 0:48:23.080
<v Speaker 1>if you pitch it as just find out what your

0:48:23.120 --> 0:48:25.680
<v Speaker 1>personality type is, I think it would have already done

0:48:25.719 --> 0:48:28.960
<v Speaker 1>really well, because those sort of things just really did

0:48:29.000 --> 0:48:32.000
<v Speaker 1>well on social media, you know, particularly if you could

0:48:32.000 --> 0:48:34.279
<v Speaker 1>phrase it as what kind of Star Wars character are you?

0:48:34.440 --> 0:48:36.960
<v Speaker 1>Or something like that. Right, It's just it's ridiculous how

0:48:37.000 --> 0:48:39.200
<v Speaker 1>well those take off. But in this case, it was

0:48:39.239 --> 0:48:43.839
<v Speaker 1>about building an actual psychological profile. And the downside here

0:48:43.960 --> 0:48:48.480
<v Speaker 1>or or the dark side. Something that wasn't really communicated

0:48:48.560 --> 0:48:52.120
<v Speaker 1>was that this app would also allow Cogan to access

0:48:52.200 --> 0:48:56.279
<v Speaker 1>not just the people who consented to be part of

0:48:56.320 --> 0:49:01.640
<v Speaker 1>this process, but also to those people's friends. So in

0:49:01.680 --> 0:49:04.759
<v Speaker 1>other words, let's say that you were on Facebook back

0:49:04.760 --> 0:49:07.759
<v Speaker 1>in two thousand thirteen, and you have no interest in

0:49:07.920 --> 0:49:11.480
<v Speaker 1>using the app, right, so you are not part of

0:49:11.520 --> 0:49:15.640
<v Speaker 1>the this is your digital life, you know, experiment or

0:49:15.640 --> 0:49:18.600
<v Speaker 1>whatever you want to call it. However, one of your

0:49:18.640 --> 0:49:22.320
<v Speaker 1>friends on Facebook, someone that you are friends with on Facebook,

0:49:22.520 --> 0:49:26.040
<v Speaker 1>has agreed to participate, so they download the app and

0:49:26.080 --> 0:49:29.719
<v Speaker 1>they fill out their survey. Well, their participation would mean

0:49:29.719 --> 0:49:32.920
<v Speaker 1>that Cogan would have access to your information as if

0:49:33.000 --> 0:49:37.000
<v Speaker 1>Cogan had been that Facebook friend of yours. So let's

0:49:37.080 --> 0:49:39.640
<v Speaker 1>let's say that we'll use the word named Bob again.

0:49:40.280 --> 0:49:44.239
<v Speaker 1>Your friend Bob takes this survey. Now Cogan can view

0:49:44.400 --> 0:49:48.920
<v Speaker 1>your profile as if Cogan were Bob, and Cogan can

0:49:48.960 --> 0:49:52.000
<v Speaker 1>do the same with all of Bob's other friends. So

0:49:52.080 --> 0:49:55.880
<v Speaker 1>even though you didn't consent to using that app and

0:49:55.960 --> 0:49:59.000
<v Speaker 1>you don't know Cogan, Cogan can see all your information

0:49:59.120 --> 0:50:02.240
<v Speaker 1>just as if they were your buddy Bob, because Bob

0:50:02.600 --> 0:50:05.960
<v Speaker 1>took the bait and use this app. This was an

0:50:06.280 --> 0:50:10.360
<v Speaker 1>enormous breach in privacy, and it was due to the

0:50:10.360 --> 0:50:14.600
<v Speaker 1>fact that Facebook was not good about setting in protections

0:50:14.840 --> 0:50:18.319
<v Speaker 1>to limit developers to the kinds of information they could

0:50:18.360 --> 0:50:22.080
<v Speaker 1>access when they built an app on Facebook, and it

0:50:22.200 --> 0:50:25.960
<v Speaker 1>gets worse. See now, none of this would really be

0:50:26.640 --> 0:50:29.440
<v Speaker 1>a thing, like people probably wouldn't have even known about it.

0:50:29.920 --> 0:50:36.120
<v Speaker 1>But years later, a political consulting company called Cambridge Analytica

0:50:36.440 --> 0:50:39.360
<v Speaker 1>was found to have bought the data collected by the

0:50:39.800 --> 0:50:44.080
<v Speaker 1>This is Your Digital Life app back in and they

0:50:44.200 --> 0:50:47.200
<v Speaker 1>use that data in an effort to support various political

0:50:47.239 --> 0:50:50.200
<v Speaker 1>campaigns in the UK and in the United States, and

0:50:50.280 --> 0:50:57.840
<v Speaker 1>primarily they were conservative candidate campaigns. Now, Cambridge Analytica attempted

0:50:57.920 --> 0:51:03.440
<v Speaker 1>some pretty underhanded and scummy things like ways to try

0:51:03.480 --> 0:51:09.440
<v Speaker 1>and discourage certain people from even participating in the voting process.

0:51:09.480 --> 0:51:14.239
<v Speaker 1>So they tried this, They tried to affect voter behaviors.

0:51:14.760 --> 0:51:19.280
<v Speaker 1>The company was not terribly good at doing that. It tried,

0:51:19.360 --> 0:51:24.279
<v Speaker 1>but from most reports it sounds like it's aspirations were

0:51:24.280 --> 0:51:28.279
<v Speaker 1>greater than its actual capabilities. But still, there was this

0:51:28.360 --> 0:51:32.719
<v Speaker 1>huge scandal that broke out when the the Cambridge Analytica

0:51:32.760 --> 0:51:37.160
<v Speaker 1>story hit the news, and it was really more about

0:51:37.160 --> 0:51:39.400
<v Speaker 1>what the company was trying to do in an effort

0:51:39.440 --> 0:51:42.359
<v Speaker 1>to manipulate voters rather than what it was actually doing,

0:51:42.400 --> 0:51:46.360
<v Speaker 1>which was, you know, not having a whole lot of

0:51:46.400 --> 0:51:49.839
<v Speaker 1>success and manipulating voters But at the heart of all

0:51:49.880 --> 0:51:53.000
<v Speaker 1>of this was the fact that Facebook had facilitated the

0:51:53.040 --> 0:51:57.480
<v Speaker 1>whole thing through its insufficient user protections in its a

0:51:57.600 --> 0:52:01.400
<v Speaker 1>p I. Now, to be somewhat fair to Facebook, the

0:52:01.440 --> 0:52:05.240
<v Speaker 1>company had changed its a p I in the meantime,

0:52:05.440 --> 0:52:09.200
<v Speaker 1>Like in between when the app was released and when

0:52:09.280 --> 0:52:12.560
<v Speaker 1>all the Cambridge Analytica news came out, Facebook had already

0:52:12.560 --> 0:52:15.719
<v Speaker 1>made these changes to try and limit how developers could

0:52:15.800 --> 0:52:19.680
<v Speaker 1>access user information on Facebook. The idea being that an

0:52:19.680 --> 0:52:24.480
<v Speaker 1>app should only have access to whatever information is necessary

0:52:24.560 --> 0:52:27.520
<v Speaker 1>for the application to actually work. So that way, you

0:52:27.520 --> 0:52:31.760
<v Speaker 1>couldn't create like a dead basic app that has access

0:52:31.800 --> 0:52:35.320
<v Speaker 1>to all user information on Facebook. That would be against

0:52:35.320 --> 0:52:38.400
<v Speaker 1>the rules. It could only tap into whatever was needed

0:52:38.440 --> 0:52:41.400
<v Speaker 1>for the app to actually function and nothing more. But

0:52:41.480 --> 0:52:44.720
<v Speaker 1>that change came too late to prevent the Cambridge Analytica scandal.

0:52:45.040 --> 0:52:47.680
<v Speaker 1>All right, Let's look at some of the other big

0:52:47.719 --> 0:52:50.719
<v Speaker 1>moves made by Facebook over the years. The company has

0:52:50.760 --> 0:52:55.480
<v Speaker 1>a reputation of either acquiring competitors or attempting to mimic

0:52:55.560 --> 0:52:59.960
<v Speaker 1>them in an effort to stave off competition. Uh. Actually

0:53:00.080 --> 0:53:03.000
<v Speaker 1>makes me think of the Disney parks in Florida, which

0:53:03.040 --> 0:53:07.160
<v Speaker 1>frequently seemed to try and outperform competitors like Universal Studios

0:53:07.200 --> 0:53:13.080
<v Speaker 1>and Sea World by creating their own kind of uh

0:53:13.120 --> 0:53:15.160
<v Speaker 1>you know, like well, in the case of Universal Studios,

0:53:15.160 --> 0:53:18.359
<v Speaker 1>they created what was originally called MGM Studios and now

0:53:18.440 --> 0:53:21.480
<v Speaker 1>is known as Disney Hollywood Studios. In the case of

0:53:21.520 --> 0:53:24.279
<v Speaker 1>Sea World, it was the Living Seas at Epcot. So

0:53:24.320 --> 0:53:26.759
<v Speaker 1>they saw mixed success with this. But the attempt was,

0:53:26.800 --> 0:53:30.800
<v Speaker 1>how can we convince people to stay on Disney property

0:53:31.080 --> 0:53:34.399
<v Speaker 1>and not split their vacation up between Disney and all

0:53:34.440 --> 0:53:38.160
<v Speaker 1>these other attractions that are in the Orlando area. Well,

0:53:38.200 --> 0:53:43.040
<v Speaker 1>Facebook follows a very similar strategy. Uh. They bought up

0:53:43.560 --> 0:53:47.879
<v Speaker 1>a ton of companies early on. So one of them

0:53:47.920 --> 0:53:51.840
<v Speaker 1>was Parakey, which was an applications development company. They bought that.

0:53:51.880 --> 0:53:54.560
<v Speaker 1>In two thousand seven. They bought connect You, which was

0:53:54.600 --> 0:53:57.399
<v Speaker 1>another social networking company. They bought that. In two thousand eight,

0:53:58.200 --> 0:54:01.120
<v Speaker 1>they scooped up friend Feed. I'm sure I'll talk about

0:54:01.120 --> 0:54:04.759
<v Speaker 1>in the next episode. It technically and our timeline as

0:54:04.800 --> 0:54:07.759
<v Speaker 1>we're going by company debuts hadn't come out by the

0:54:07.800 --> 0:54:10.759
<v Speaker 1>time Facebook came out in two thousand nine. That's when

0:54:10.800 --> 0:54:13.319
<v Speaker 1>it bought a friend feed, and it also bought some

0:54:13.400 --> 0:54:15.920
<v Speaker 1>of Friendster's I p in two thousand ten. I did

0:54:15.960 --> 0:54:19.360
<v Speaker 1>talk about Friendster in the previous episode in this series,

0:54:20.160 --> 0:54:22.719
<v Speaker 1>and it bought up dozens of other companies, but let's

0:54:22.760 --> 0:54:26.120
<v Speaker 1>talk about a couple of truly big ones. In two

0:54:26.120 --> 0:54:29.320
<v Speaker 1>thousand twelve, Facebook announced it would acquire the photo focused

0:54:29.440 --> 0:54:34.719
<v Speaker 1>social network Instagram for a whopping one billion dollars. That

0:54:34.880 --> 0:54:38.000
<v Speaker 1>was a huge deal, and analysts quickly pointed out that

0:54:38.040 --> 0:54:40.080
<v Speaker 1>Facebook was trying to stay on top of the social

0:54:40.120 --> 0:54:43.520
<v Speaker 1>networking game, partly by buying a company that was much

0:54:43.600 --> 0:54:47.480
<v Speaker 1>better at photo sharing than Facebook had been. So this

0:54:47.520 --> 0:54:49.880
<v Speaker 1>was one of those cases where Facebook is essentially saying,

0:54:50.719 --> 0:54:55.000
<v Speaker 1>I recognized this as a key component to being a

0:54:55.040 --> 0:55:00.040
<v Speaker 1>successful social networking company, but I cannot make something I

0:55:00.120 --> 0:55:02.960
<v Speaker 1>can compete with Instagram, which is already doing it super well,

0:55:03.120 --> 0:55:07.440
<v Speaker 1>So let's just buy Instagram instead. Facebook kept buying more companies,

0:55:07.480 --> 0:55:11.080
<v Speaker 1>and the next huge purchase was in when it bought

0:55:11.120 --> 0:55:17.040
<v Speaker 1>WhatsApp for a staggering nineteen billion dollars. Now, while it

0:55:17.520 --> 0:55:19.759
<v Speaker 1>wasn't widely known in the United States that at the

0:55:19.800 --> 0:55:24.200
<v Speaker 1>time of acquisition, WhatsApp was and continues to be a

0:55:24.320 --> 0:55:27.640
<v Speaker 1>popular mobile instant messaging client in the rest of the world,

0:55:28.080 --> 0:55:30.839
<v Speaker 1>and again, Facebook was looking at companies that were doing

0:55:30.960 --> 0:55:35.479
<v Speaker 1>really well in areas where Facebook kind of wasn't. Also,

0:55:35.520 --> 0:55:37.600
<v Speaker 1>we should keep in mind that Facebook was all about

0:55:37.719 --> 0:55:41.040
<v Speaker 1>maximizing the time users were spending on Facebook owned and

0:55:41.040 --> 0:55:45.480
<v Speaker 1>operated services. So if you're spending more time on messaging

0:55:45.760 --> 0:55:49.040
<v Speaker 1>than you are on social networks, well, that could hurt

0:55:49.040 --> 0:55:53.239
<v Speaker 1>Facebook's bottom line unless Facebook buys the messaging service and

0:55:53.280 --> 0:55:58.760
<v Speaker 1>then you're still on Facebook's stuff. That same year, Facebook

0:55:58.840 --> 0:56:03.799
<v Speaker 1>bought up Oculu VR for two billion dollars, and this

0:56:03.840 --> 0:56:08.720
<v Speaker 1>would form the nugget of Facebook's Reality Lambs division, which

0:56:09.320 --> 0:56:11.719
<v Speaker 1>I'm sure I'll mention again before this episode is over.

0:56:12.080 --> 0:56:15.319
<v Speaker 1>And there are many many more acquisitions that Facebook did

0:56:15.320 --> 0:56:19.960
<v Speaker 1>over the years. Some were recently reversed. Take Giffee, for example,

0:56:20.560 --> 0:56:24.320
<v Speaker 1>This is an online database and search engine for animated gifts.

0:56:24.760 --> 0:56:29.680
<v Speaker 1>Facebook bought it in but recently the UK's regulatory authority

0:56:29.760 --> 0:56:34.239
<v Speaker 1>has ordered Facebook to divest itself of this acquisition. It

0:56:34.320 --> 0:56:37.520
<v Speaker 1>has said that otherwise Facebook has engaged in anti competitive

0:56:37.600 --> 0:56:42.160
<v Speaker 1>business practices, which I mean, yeah, that's kind of Facebook's

0:56:42.160 --> 0:56:46.040
<v Speaker 1>bread and butter in many ways. So Facebook has spent

0:56:47.000 --> 0:56:50.160
<v Speaker 1>tens of billions of dollars on acquisitions, of the big

0:56:50.160 --> 0:56:55.680
<v Speaker 1>ones being WhatsApp, than Instagram, UH and Oculus VR. Right,

0:56:55.760 --> 0:56:59.480
<v Speaker 1>those make up a lot of the money that Facebook

0:56:59.480 --> 0:57:04.160
<v Speaker 1>has spent on acquisitions. As for growth, Facebook story has

0:57:04.239 --> 0:57:07.200
<v Speaker 1>also been pretty incredible. At the end of two thousand six,

0:57:07.239 --> 0:57:11.120
<v Speaker 1>Facebook boasted around twelve billion users, and in two thousand

0:57:11.120 --> 0:57:14.280
<v Speaker 1>seven that number just kept growing. In April two thousand seven,

0:57:14.360 --> 0:57:17.680
<v Speaker 1>it hit twenty million. By July it was thirty million,

0:57:17.800 --> 0:57:21.800
<v Speaker 1>by October it was fifty million, and it just kept growing.

0:57:22.360 --> 0:57:26.480
<v Speaker 1>By two thousand twelve, Facebook hit a crazy milestone of

0:57:26.680 --> 0:57:33.440
<v Speaker 1>one billion active users. Five years later it hit two billion.

0:57:34.640 --> 0:57:38.640
<v Speaker 1>Crazy numbers, right. But then this past February, which is

0:57:38.720 --> 0:57:41.600
<v Speaker 1>February twenty two for all of those of y'all who

0:57:41.640 --> 0:57:45.960
<v Speaker 1>are listening from the future, Facebook posted a net loss

0:57:46.120 --> 0:57:50.360
<v Speaker 1>of users for the first time in eighteen years, and

0:57:50.440 --> 0:57:54.120
<v Speaker 1>it amounted to about half a million fewer users logging

0:57:54.120 --> 0:57:58.600
<v Speaker 1>in daily. And that doesn't sound like it's that bad, right, Like,

0:57:58.600 --> 0:58:00.320
<v Speaker 1>oh yeah, half a million, that's a lot of people.

0:58:00.320 --> 0:58:04.560
<v Speaker 1>But we were talking about two billion and just insane

0:58:04.640 --> 0:58:07.480
<v Speaker 1>growth from the get go. But this was kind of

0:58:07.520 --> 0:58:12.760
<v Speaker 1>the tip of an iceberg of things that investors became

0:58:12.800 --> 0:58:17.560
<v Speaker 1>really concerned about. For one thing, a loss in daily

0:58:17.680 --> 0:58:20.920
<v Speaker 1>users could be a signal that maybe Facebook has finally

0:58:20.960 --> 0:58:26.000
<v Speaker 1>reached saturation across the world, that they're just no more

0:58:26.160 --> 0:58:28.760
<v Speaker 1>users that they can add to the service, that that

0:58:29.040 --> 0:58:33.200
<v Speaker 1>Facebook weeps for, there are no more worlds to conquer.

0:58:34.120 --> 0:58:36.520
<v Speaker 1>And of course we have to remember that a lot

0:58:36.640 --> 0:58:41.000
<v Speaker 1>of capital investment is largely focused on the concept of growth.

0:58:41.080 --> 0:58:44.880
<v Speaker 1>It's not just good enough to do well year over year.

0:58:45.240 --> 0:58:48.760
<v Speaker 1>A company needs to grow. That is like a big

0:58:48.840 --> 0:58:53.080
<v Speaker 1>part of how investors view company performance. That if you

0:58:53.320 --> 0:58:57.360
<v Speaker 1>failed to grow, then the investment is not going to

0:58:57.640 --> 0:58:59.800
<v Speaker 1>increase over time and you just want to get out.

0:59:00.440 --> 0:59:03.840
<v Speaker 1>So a failure to grow can be a company's death sentence,

0:59:03.880 --> 0:59:06.320
<v Speaker 1>which is crazy because the company can still perform well

0:59:06.520 --> 0:59:09.760
<v Speaker 1>year to year, but it's not growing. It's not good enough.

0:59:10.800 --> 0:59:13.040
<v Speaker 1>If you've already hit as many users as they're going

0:59:13.080 --> 0:59:16.120
<v Speaker 1>to sign up for your service, well you start to

0:59:16.200 --> 0:59:19.240
<v Speaker 1>really face a massive problem. You might think that this

0:59:19.320 --> 0:59:22.760
<v Speaker 1>kind of obsession with growth is ultimately self defeating, and

0:59:22.800 --> 0:59:24.960
<v Speaker 1>I would agree with you, but again I'm no expert

0:59:24.960 --> 0:59:29.320
<v Speaker 1>in financial matters. You could very convincingly argue that I

0:59:29.360 --> 0:59:32.160
<v Speaker 1>am taking far too narrow a view, and you could

0:59:32.240 --> 0:59:35.360
<v Speaker 1>very well be right. I do not pretend to have

0:59:35.400 --> 0:59:38.520
<v Speaker 1>a deep understanding of these things anyway. At this point,

0:59:38.520 --> 0:59:42.120
<v Speaker 1>Facebook the company had changed its name to Meta, with

0:59:42.560 --> 0:59:46.919
<v Speaker 1>Facebook just being one property under Meta's ownership, the other

0:59:46.960 --> 0:59:50.440
<v Speaker 1>big ones being Instagram and WhatsApp. Now the name change

0:59:50.560 --> 0:59:54.400
<v Speaker 1>both indicated Zuckerberg's new desire to forge the next incarnation

0:59:54.400 --> 0:59:58.800
<v Speaker 1>of the Web, or maybe even the Internet, called the metaverse.

0:59:59.240 --> 1:00:01.360
<v Speaker 1>That this was is an indicator of, Yes, this is

1:00:01.400 --> 1:00:04.280
<v Speaker 1>the business that this company is headed toward. But it

1:00:04.360 --> 1:00:07.680
<v Speaker 1>also came to the time when the former Facebook company

1:00:07.920 --> 1:00:11.400
<v Speaker 1>was in headlines a lot for a lot of really

1:00:11.560 --> 1:00:17.280
<v Speaker 1>bad stuff. There was the whistleblower, where we get this enormous,

1:00:18.000 --> 1:00:23.520
<v Speaker 1>uh collection of internal documents that showed a really unflattering

1:00:23.600 --> 1:00:28.520
<v Speaker 1>look at Facebook's business plans and how it treated user privacy,

1:00:28.600 --> 1:00:33.560
<v Speaker 1>and how it viewed misinformation and just it was a

1:00:33.640 --> 1:00:38.160
<v Speaker 1>lot of really ugly stuff that came out from that leak.

1:00:39.000 --> 1:00:42.120
<v Speaker 1>Zuckerberg himself had been called to testify in front of

1:00:42.160 --> 1:00:46.680
<v Speaker 1>the US Congress a few times on different matters, ranging

1:00:46.720 --> 1:00:50.560
<v Speaker 1>from user privacy and security to things like national security

1:00:50.600 --> 1:00:54.720
<v Speaker 1>and the proliferation of misinformation across Facebook, So the name

1:00:54.840 --> 1:00:56.800
<v Speaker 1>change was probably seen as a way to maybe at

1:00:56.880 --> 1:01:00.360
<v Speaker 1>least dodge a little bit of the problems that were

1:01:00.360 --> 1:01:03.400
<v Speaker 1>being flung towards Facebook. I don't know how effective that was,

1:01:03.480 --> 1:01:06.360
<v Speaker 1>but that might have been part of the reason. Today.

1:01:06.560 --> 1:01:08.640
<v Speaker 1>Meta is a company that many of you as being

1:01:08.760 --> 1:01:12.760
<v Speaker 1>in crisis mode. But like a lot of big tech companies,

1:01:12.760 --> 1:01:15.240
<v Speaker 1>that's in crisis mode right. I mean, it's recently held

1:01:15.280 --> 1:01:18.760
<v Speaker 1>layoffs in the face of economic uncertainty, but that's the

1:01:18.840 --> 1:01:23.520
<v Speaker 1>case across numerous big tech companies. It has spent billions

1:01:23.520 --> 1:01:27.240
<v Speaker 1>of dollars developing the metaverse concept, which Zuckerberg himself has

1:01:27.240 --> 1:01:30.520
<v Speaker 1>said is going to take years to become a revenue generator.

1:01:30.840 --> 1:01:34.560
<v Speaker 1>So in other words, that everyone should be prepared for

1:01:34.640 --> 1:01:38.640
<v Speaker 1>the company to continue to lose money while developing this,

1:01:38.800 --> 1:01:41.000
<v Speaker 1>because there's no way to make money from it yet.

1:01:41.960 --> 1:01:45.920
<v Speaker 1>And that is a huge concern to investors too, because

1:01:46.040 --> 1:01:49.240
<v Speaker 1>I think a lot of people still aren't sold on

1:01:49.280 --> 1:01:51.120
<v Speaker 1>the concept of metaverse. You've got a lot of people

1:01:51.160 --> 1:01:54.400
<v Speaker 1>saying like, no one's interested in it, which I think

1:01:54.480 --> 1:01:57.280
<v Speaker 1>is an overstatement. I think there are people who are

1:01:57.320 --> 1:01:59.880
<v Speaker 1>really interested in it. I think a lot of entities

1:01:59.880 --> 1:02:01.800
<v Speaker 1>that are interested in the metaverse are ones that are

1:02:01.840 --> 1:02:05.880
<v Speaker 1>accounting on another gold rush. Right. They don't really know

1:02:06.600 --> 1:02:08.480
<v Speaker 1>what the metaverse is going to turn out to be,

1:02:09.280 --> 1:02:12.439
<v Speaker 1>but they suspect that if it does become a thing,

1:02:12.840 --> 1:02:14.520
<v Speaker 1>that there will be money to be made there. So

1:02:14.560 --> 1:02:19.200
<v Speaker 1>there's a lot of push toward the metaverse. A lot

1:02:19.280 --> 1:02:22.600
<v Speaker 1>of companies, including I Heart Radio, have been really active

1:02:22.840 --> 1:02:26.120
<v Speaker 1>and at least establishing some sort of presence related to

1:02:26.160 --> 1:02:30.040
<v Speaker 1>the metaverse, But there's so much uncertainty there that I

1:02:30.080 --> 1:02:33.800
<v Speaker 1>think that gives investors a lot of concern at least

1:02:33.800 --> 1:02:37.560
<v Speaker 1>in the short term. Facebook also has struggled to attract

1:02:37.720 --> 1:02:41.480
<v Speaker 1>younger users who seem to prefer platforms like TikTok. That

1:02:41.560 --> 1:02:45.000
<v Speaker 1>gives investors even more concerns because if you're not replenishing

1:02:45.040 --> 1:02:48.240
<v Speaker 1>your user base, they will continue to age out, and

1:02:48.280 --> 1:02:50.880
<v Speaker 1>then the probe the platform will become less and less

1:02:50.920 --> 1:02:54.840
<v Speaker 1>relevant over time. So you might wonder, are we witnessing

1:02:55.120 --> 1:02:58.720
<v Speaker 1>a mega company on the verge of collapse. Is Meta

1:02:58.840 --> 1:03:04.600
<v Speaker 1>slash Facebook heading toward becoming irrelevant? Well, I think it's

1:03:04.680 --> 1:03:06.960
<v Speaker 1>way too early to make such a pronouncement. I mean,

1:03:07.000 --> 1:03:10.720
<v Speaker 1>I am very critical of meta and I do see

1:03:10.720 --> 1:03:14.000
<v Speaker 1>a lot of problems with the company, but I'm not

1:03:14.120 --> 1:03:16.160
<v Speaker 1>sure that we could say this is the end. I

1:03:16.160 --> 1:03:19.120
<v Speaker 1>think that would be far too premature. Um. I don't

1:03:19.120 --> 1:03:21.240
<v Speaker 1>think Facebook is too big to fail. I don't think

1:03:21.280 --> 1:03:23.280
<v Speaker 1>there is such a thing as being too big to fail.

1:03:23.720 --> 1:03:27.200
<v Speaker 1>But I do think that Facebook is really freaking big,

1:03:27.400 --> 1:03:29.280
<v Speaker 1>so it's gonna take a lot to bring it down.

1:03:29.560 --> 1:03:31.880
<v Speaker 1>So yeah, not too big to fail, but too big

1:03:31.920 --> 1:03:37.200
<v Speaker 1>to fail instantaneously unless like a ridiculous series of events

1:03:37.200 --> 1:03:40.160
<v Speaker 1>comes to pass. But then this year has been pretty ridiculous.

1:03:40.680 --> 1:03:45.120
<v Speaker 1>The company does face increasing regulatory scrutiny around the world,

1:03:45.720 --> 1:03:49.840
<v Speaker 1>so there are various agencies out there calling to further

1:03:50.000 --> 1:03:54.720
<v Speaker 1>break up Meta into its constituent parts. Maybe that will

1:03:54.760 --> 1:03:58.360
<v Speaker 1>go somewhere. I I remain somewhat skeptical of that. But

1:03:58.400 --> 1:04:01.440
<v Speaker 1>they are also increasing invest your demands as people are

1:04:01.600 --> 1:04:05.440
<v Speaker 1>calling on Zuckerberg to make some dramatic changes because they

1:04:05.440 --> 1:04:08.960
<v Speaker 1>don't like seeing costs go up and revenue not go

1:04:09.160 --> 1:04:13.800
<v Speaker 1>up more. It still faces the challenge of attracting new users,

1:04:13.920 --> 1:04:16.480
<v Speaker 1>younger users. It's not doing so well in that, and

1:04:16.520 --> 1:04:20.880
<v Speaker 1>the attempts that it has pursued have gained the company

1:04:20.880 --> 1:04:23.800
<v Speaker 1>a lot of criticism because it sounds like they're trying

1:04:23.840 --> 1:04:29.080
<v Speaker 1>to prey upon young people right, like to create Instagram

1:04:29.200 --> 1:04:34.680
<v Speaker 1>for preteens, when Instagram is also associated with some really

1:04:34.760 --> 1:04:38.200
<v Speaker 1>negative stuff like negative self image issues and that kind

1:04:38.200 --> 1:04:40.760
<v Speaker 1>of thing. It's also trying to sell people on the

1:04:40.760 --> 1:04:43.560
<v Speaker 1>idea of the metaverse, which obviously is still a big

1:04:44.040 --> 1:04:47.000
<v Speaker 1>ask and and a lot more so, there are a

1:04:47.040 --> 1:04:51.240
<v Speaker 1>lot of long bets going on over at Meta slash Facebook.

1:04:51.720 --> 1:04:55.360
<v Speaker 1>If they pay off, then it's possible that Meta will

1:04:55.440 --> 1:04:58.800
<v Speaker 1>be a foundational pillar of the Internet of the future,

1:04:58.880 --> 1:05:03.240
<v Speaker 1>like it's possible that Meta and the Internet will be

1:05:03.280 --> 1:05:08.200
<v Speaker 1>practically synonymous if those long bets pay off. I remain

1:05:08.280 --> 1:05:12.040
<v Speaker 1>skeptical that they will, but some of them might. I

1:05:12.080 --> 1:05:14.840
<v Speaker 1>don't think all of them will. I still find it

1:05:14.920 --> 1:05:17.600
<v Speaker 1>hard to believe that in the future I'll be wearing

1:05:17.840 --> 1:05:22.280
<v Speaker 1>a headset in order to access the web. But we'll see. Anyway,

1:05:23.280 --> 1:05:26.080
<v Speaker 1>there we go. That is the short version, believe it

1:05:26.160 --> 1:05:29.760
<v Speaker 1>or not, of summaries of my Space and Facebook, and

1:05:29.880 --> 1:05:33.640
<v Speaker 1>obviously I could do full series and both of those companies.

1:05:33.720 --> 1:05:37.000
<v Speaker 1>When we come back for the next entry in this series,

1:05:37.640 --> 1:05:40.000
<v Speaker 1>we will pick up with some other social networks, which

1:05:40.480 --> 1:05:44.400
<v Speaker 1>you know, either enjoyed brief popularity and then fizzled away

1:05:44.560 --> 1:05:48.960
<v Speaker 1>or in some cases, are still around. Um, you know,

1:05:49.120 --> 1:05:51.840
<v Speaker 1>we haven't even hit Twitter yet, so that is on

1:05:51.880 --> 1:05:55.800
<v Speaker 1>the horizon. Okay, that wraps this up, y'all. One thing

1:05:55.800 --> 1:05:59.080
<v Speaker 1>I am working on right now as I'm putting together

1:05:59.400 --> 1:06:03.560
<v Speaker 1>a list of some of the biggest stories to unfold

1:06:03.640 --> 1:06:07.240
<v Speaker 1>in two in tech. So if you have any in

1:06:07.280 --> 1:06:09.320
<v Speaker 1>particular you want me to touch on, let me know.

1:06:09.520 --> 1:06:11.600
<v Speaker 1>Obviously they're gonna be some big ones that we talked

1:06:11.600 --> 1:06:15.000
<v Speaker 1>about even in this episode, like stories about Meta and

1:06:15.080 --> 1:06:19.000
<v Speaker 1>stories about Twitter. Don't worry, the Elon Musk Twitter story

1:06:19.040 --> 1:06:22.520
<v Speaker 1>will definitely make the cut because goodness knows. But if

1:06:22.520 --> 1:06:25.200
<v Speaker 1>there are anything, if there's anything that happened in tech

1:06:25.280 --> 1:06:28.479
<v Speaker 1>this past year that you really would like to hear

1:06:28.720 --> 1:06:30.920
<v Speaker 1>me cover in kind of an end of the year

1:06:30.960 --> 1:06:33.120
<v Speaker 1>wrap up, let me know. There are a couple of

1:06:33.160 --> 1:06:35.400
<v Speaker 1>ways to get in touch with me. One is you

1:06:35.400 --> 1:06:38.240
<v Speaker 1>can download the I Heart radio app. You can navigate

1:06:38.280 --> 1:06:39.920
<v Speaker 1>over to tech Stuff. You just put tech stuff in

1:06:39.960 --> 1:06:42.480
<v Speaker 1>the search field, it'll pull up. You can use a

1:06:42.480 --> 1:06:44.880
<v Speaker 1>little microphone icon there and leave me a voice message

1:06:44.920 --> 1:06:46.720
<v Speaker 1>up to thirty seconds in length. Just let me know

1:06:46.760 --> 1:06:48.920
<v Speaker 1>what it is you would like me to cover, or

1:06:49.200 --> 1:06:51.080
<v Speaker 1>if you would prefer, you can head over to Twitter

1:06:51.280 --> 1:06:53.080
<v Speaker 1>and you can leave me a message on Twitter. The

1:06:53.120 --> 1:06:56.440
<v Speaker 1>handle for the show is tech Stuff H s W

1:06:57.160 --> 1:07:05.959
<v Speaker 1>and I'll talk to you again really soon. Yes. Text

1:07:05.960 --> 1:07:09.400
<v Speaker 1>Stuff is an I Heart Radio production. For more podcasts

1:07:09.440 --> 1:07:12.200
<v Speaker 1>from I Heart Radio, visit the i Heart Radio app,

1:07:12.320 --> 1:07:15.480
<v Speaker 1>Apple Podcasts, or wherever you listen to your favorite shows.