A journalist has managed to get their hands on 2 hours worth of recordings with Zuckerberg answering questions from employees today. They’re pretty eye-opening.
He’s not wrong though..
He actually sounds like he thinks TikTok is a pretty big threat so it’s interesting to hear what kinds of changes they’re making to Instagram, which will help counter them.
So we have a number of approaches that we’re going to take towards this, and we have a product called Lasso that’s a standalone app that we’re working on, trying to get product-market fit in countries like Mexico, is I think one of the first initial ones. We’re trying to first see if we can get it to work in countries where TikTok is not already big before we go and compete with TikTok in countries where they are big.
We’re taking a number of approaches with Instagram, including making it so that Explore is more focused on stories, which is increasingly becoming the primary way that people consume content on Instagram, as well as a couple of other things there. But yeah, I think that it’s not only one of the more interesting new phenomena and products that are growing. But in terms of the geopolitical implications of what they’re doing, I think it is quite interesting. I think we have time to learn and understand and get ahead of the trend. It is growing, but they’re spending a huge amount of money promoting it. What we’ve found is that their retention is actually not that strong after they stop advertising. So the space is still fairly nascent, and there’s time for us to kind of figure out what we want to do here.
This would be one of the first times Facebook’s come up against a competitor that they can’t just buy. They did a good job of countering Snapchat but they can only pull the app in so many directions at once.