12 February 2014 — WashingtonsBlog
[Click farms? It’s all smoke and mirrors. Facebook, like the handful of giant Internet-based corporations, had an initial ‘value’ based on nothing more than it’s potential to monopolise ‘social space’ on the Internet (as opposed to, for example, Murdoch’s MySpace). In turn investors, bought shares based on nothing more than potential future revenue that would be generated largely from advertising. In turn, Facebook used this real cash to buy companies that produced real products that addressed Facebook’s corporate desires. Google, and of course Microsoft and a handful of others, have all operated in this way.
This video shows not only how Facebook creates value out of thin air, but how super-cheap labour in the Third World makes it all possible in the first place. WB]
Janet Tavakoli explains:
Derek Muller of Veritasium released a video today demonstrating most “likes” are fakes and ads aren’t reaching target audiences. He kicks off the video with ”Virtual Bagel,” put up by BBC’s tech correspondent Rory Cellan-Jones to illustrate the problem.