Web 2.0 : How money is made

Filed in archive Web 2.0 on August 5, 2007

Money on the web is made in a very traditional and wellknown way. Either as site offers content to paying customers, or customers pay nothing and money is made through advertisements. In the case of Web 2.0, the latter is how money is made.

A slight problem can occur though when a Social Network works with advertisers, but don't control the contents of their network. Facebook is facing this situation.

First Direct, Vodafone, Virgin Media, the AA, Halifax and the prudential withdrew their Facebook advertising after it was disclosed that their advertisements were being displayed on the Facebook page of the British National Party (BNP). The ads of the six companies were being rotated through the BNP's page along with other advertising. Facebook is said to be unable to block campaigns on specific Facebook pages.

Clearly, control over specific content is key in the modern web. Facebook is doing very well, but a minor hickup like this could change everything and make them fall hard.