My rebirth is different

Page 669

But Facebook spun off the game department, and directly cut off this business, so what will be used to monetize the traffic in the future.

Facebook really wants to make a profit, but it's actually very simple. It only needs to advertise on the website. This is also the most direct way for Sina to make money.

With Facebook's current traffic, if you accept advertisements, you will definitely earn more than Sina. In fact, I don't know how many advertising companies have come to negotiate with them on the Facebook platform.

But Yu Wenfei refused all of them.

He has long said that what Facebook presents to users must be the most concise interface, without messy advertisements or anything that damages the user experience.

Then this most direct and most effective method of monetizing traffic is tantamount to being cut off.

As a result of the discussion between Cai Congxin and Yu Wenfei, they decided to come up with something real. Otherwise, it would be hard to fool VCs and investors. After all, Facebook will soon be preparing to go public. If you have been relying on "dreams", it is very It's not easy to go far.

As a result, those two projects that had been hidden for a long time were brought out.

Facebook Music and Facebook Video!

Originally, when Facebook was splitting off its business last time, these two projects were to be taken out separately to establish a company, but due to various reasons, they were unable to be officially launched.Therefore, the project was also hidden away.

Now, it finally comes in handy, that is, these two projects are again divided into Facebook's banner, and they are used as Facebook's traffic monetization channel.

Moreover, after Facebook's financing this time, it will also have a huge amount of funds to promote the official launch of Facebook music and Facebook videos, which couldn't be better.

The two market segments represented by these two softwares are also very imaginative, and they are perfect for "telling stories" to VCs and investors.

Although Yu Wenfei feels a little pity, it is a pity that these two projects should have been at the unicorn level, and now they can only be regarded as "tops" on Facebook.But he didn't care too much. After all, you can't be too greedy. You can't take all the advantages by yourself. When the time is right, you should also give the partners a little "sweetness".

There are many profitable businesses, but in terms of strategic significance, whether it is music or video, they are far less important than Facebook.

So for Facebook's success, both music and video projects can be appropriately "sacrificed".

Besides, if one person makes money and the other loses, the business will not last long. Only by winning more is the real win.

…………

Cai Congxin cleared his throat and explained: "Very well, I just took this opportunity to talk to you about this issue. It's not that our company has not considered the issue of how Facebook makes money. In fact, the channel for monetizing traffic has already been prepared. Well, when the funds for this financing are in place, the new project can be launched immediately!"

This statement once again caused an uproar in the conference room. If Facebook can achieve profitability before going public, the concept will be different.

Originally relying on the huge number of users, Facebook's valuation has been rising all the way. The reason why everyone is still cautiously skeptical is because it does not yet have a clear traffic monetization model.

If Cai Congxin can really come up with a convincing plan next, then the valuation of 50 billion US dollars is absolutely no problem.

Everyone will make corresponding adjustments to their respective quotation plans.

After all, they are all VC giants, and they have money in their hands. Not to mention that Facebook is valued at 50 billion U.S. dollars, even if it is 500 billion U.S. dollars, as long as there are profits to be made, everyone will do everything possible to raise money to invest. The key is to look at this Is the project worthwhile to vote for?

"Facebook has been preparing for two new projects before, but they were not launched due to hardware conditions and insufficient funds. Now that Facebook's major data centers across the country have been built, there are no hardware restrictions. Funding is no longer a problem after this financing, so the time is ripe. These two projects are Facebook music software and Facebook video!" Cai Congxin said confidently.

music?

video?

Everyone looked at each other, are these two projects reliable?

Now that there are so many free music and videos on the Internet, you can just listen to them and watch them casually. How can you make users pay for them?

Chapter 571 Video Advertisement Launched

Before everyone could ask questions, Cai Congxin continued to explain: "I know, everyone will definitely ask, after the launch of Facebook Music and Facebook Video, is it necessary to adopt a membership system? Do you want users to pay? What about free products to compete?"

The questions he asked are indeed the ones that everyone wants to know the most.

"But have you ever noticed that there are indeed a lot of free music and videos on the Internet, but strictly speaking, they are all pirated resources! And the quality is very poor! Most of the music formats are MP3, and a song is only one MB, or even Less, the sound quality can be said to be terrible! As for the video, if you have watched it, you should know that the picture quality is so blurred that you can’t see it clearly, it can be said that the user experience is extremely poor!”

People in the conference room nodded frequently. What Cai Congxin said was indeed true.

Because it is a pirated resource, coupled with the limitations of network conditions, the music and video resources on the Internet now obviously don't talk about the sound quality and picture quality, and it is good to be able to listen and watch.

In those days, netizens who downloaded pirated movies should know that a movie with one or two hundred MB is considered a "high-definition" version!

Movies with dozens of megabytes are the normal format. Compared with the current movie with a few gigabytes, the picture quality is obviously not comparable.

"Now the mainland's Internet infrastructure is developing very fast. Many areas have already achieved ADSL Internet access. The downlink speed is 4MB and the uplink speed is 1MB. This network speed is actually enough to support online playback of relatively high-definition quality videos! Of course, lossless format The music is not a problem. There are two reasons why there are no music software and video sites on the Internet that provide high-definition lossless format music and videos, one is copyright issues, and the other is their own hardware limitations!"

Cai Congxin analyzed in an orderly manner, and all VC representatives also nodded in agreement.

"Our Facebook music and Facebook videos will not use pirated resources. From the day they go online, it has been a purpose to provide users with high-quality genuine music and videos! We will use the funds obtained from financing to purchase copyrights and Strategic cooperation with those music companies and film and television companies! In this regard, Facebook has a natural advantage. Don’t forget that now all well-known singers and stars basically have their own Facebook accounts, and with the development of Facebook, Celebrities are also paying more and more attention to publicity on Facebook." Cai Congxin said meaningfully.

"But...? In this case, didn't we spend money wrongly? Competitors don't need to spend money, but we have to spend money to buy copyrights. Even if we provide higher-quality music and videos, the funds are always limited , can’t compare to the continuous pirated resources of the opponent.” A VC representative raised a question.

"Piracy only occurs under certain conditions, but this abnormal phenomenon cannot continue forever. With the pace of China's entry into the WTO, copyright issues will inevitably be put on the agenda. What's more, maintaining copyright also needs to take the initiative. In the past, those music companies or film and television companies did not have enough ability to pursue piracy and infringement because of their limited strength. But Facebook is different. We have enough confidence and ability. We still have a solution to the piracy of the opponent." Cai Congxin laughed.

Now everyone understands, it turns out that Facebook is thinking like this!

I didn't think about eradicating piracy on the entire network, that's not realistic, but it's still very easy to hold up the "big stick" of copyright and hit competitors...

"In addition, in the early days, Facebook music and Facebook videos were not easy to charge, but video advertisements will be added, allowing users to watch a 20-[-]-second advertisement first, and then experience high-definition videos. Users should be able to accept it. And relying on the huge traffic brought by Facebook, there is no doubt about the effectiveness of our advertisements, and the charges can be higher. Don’t forget, this is a video advertisement, not a webpage advertisement like Sina Netease. In comparison, the advertisement is even more Intuitive, the effect will be better!"

Video Ads!

This is relatively new. In the past, video advertising only existed on TV, and everyone knows how expensive TV advertising is.

Now Facebook Video is going to launch an online video advertisement, this matter...

There should be some tricks!

In this way, it can be regarded as a relatively perfect solution to the problem of monetization of Facebook's huge traffic, and provides a monetization channel.

In addition, holding the copyright of music and film and television, this will also be a "big killer" in the future!

After the domestic copyright awareness is strengthened, when other competitors want to make music and videos, they will be shocked to find that most of the music and film copyrights have been bought by Facebook.

Then how to compete...

…………

After the profit model was explained, the VC representatives present also left contentedly. They will each come up with their own quotations when they go back, and the one with the highest price will win.

After everyone had left, several shareholders of Facebook remained in the conference room, Yu Wenfei, Xue Chunhe, and Cai Congxin. As for Director Wang from Jiaotong University Venture Capital, they did not come today.

"Is this video advertising model feasible? Why do I have no idea." Xue Chunhe said with a little worry.

He is a representative of Softbank Capital. Softbank's investment in Facebook is not for charity, but of course it is for the purpose of cashing out when the right time comes.

So he is still very concerned about how Facebook makes money.

"Don't worry, I'll just analyze it with you, and you'll understand. TV stations, even those more famous satellite TVs, let's take Dragon TV as an example, their ratings are generally around 2000% during prime time at night. In layman's terms, it means that the number of viewers does not exceed 1000 million, and may even be less than [-] million. However, based on the user base of our Facebook, the number of viewers of our videos may exceed the [-] million mark! The effect of this advertisement To say it immodestly, it can be compared to the advertising effect of CCTV, but it has to be the advertisement of CCTV during the prime time of the day! You also know how expensive the advertising cost of CCTV during the prime time.” Cai Congxin explained.