What does the new EU regulation mean for Meta and Google

Vivino / Eng
McFondles

Vivino Eng

McFondles
Apr 23 28 Comments

I believe most agree that Meta as a company started with controversy and it's been gripped in it ever since. Now with the EU passing this (link below) what does that mean for the future of the company. If some of their core products rely on Advertising revenue, does the now-blemished image contribute to a further slide?

There have already been many posts discussing the effects of the decline on us Engineering folks, but I wonder if we've now run full circle and it's time to refresh.

Perhaps these tech giants have hit a brick wall while we all thought their innovation knows no bounds.

https://www.theverge.com/2022/4/23/23036976/eu-digital-services-act-finalized-algorithms-targeted-advertising

TC - Not relevant here.

comments

Want to comment? LOG IN or SIGN UP
TOP 28 Comments
  • Apple
    stonks.up

    Go to company page Apple

    stonks.up
    This is why you don’t see any tech companies from EU. Socialist regime against innovation.
    Apr 23 5
    • Dell
      ಆರ್ಯ

      Go to company page Dell

      ಆರ್ಯ
      It's not innovation vs regulation, it's innovation with regulation for user protection! End of the day country has to protect citizens as it's their responsibility.
      Apr 23
    • New
      zFaT32

      New

      zFaT32
      Dell, you don't need to worry since no innovation happens in your company and it doesn't makes any difference for you.
      May 6
  • New
    8==ID

    New

    8==ID
    I welcome it, ad revenue shouldn't come at the cost of an increasingly polarized society or a generation of kids with self esteem issues and shopping addictions. The fact that they have gone unchecked this long is a tragedy and I think society is going to feel the ramifications of this for a long time esp with Gen Z. If these companies die due to the impact on just one of their revenue streams then they deserve to die, they should have diversified.

    On that note, it also really frustrated me that you think regulating ads is an end to innovation. There are SO many tech sectors that are evolving at a rapid pace and will shape the course of humanity over the next couple of decades. You have to be living under a rock to think ad tech is the peak of human ingenuity.

    Finally, If you are a competent engineer your income shouldn't heavily depend on targeted ads being unregulated. Just take your skills and apply them to something that isn't a straight up cancer to society.
    Apr 23 3
    • Vivino / Eng
      McFondles

      Vivino Eng

      McFondles
      OP
      I agree with everything you said above and I'd like to clarify my stance - I don't think Advertising is where the innovation is at, but without the ad revenue, the cash inflow takes a hit, and that has an adverse effect on innovation. A company like Meta is allowed to go out and expand on their AR/VR tech projects majorly because its other products ring in the cash via Ads.
      Now if this company gets a black scar across its logo for shady practices, with dropping ad revenue and fewer investments, how will innovation continue?
      Apr 23
    • New
      8==ID

      New

      8==ID
      @vivino I think I have 2 counter arguments here.

      First, while they are mandating and attempting to regulate advertising recommendations they aren't outlawing it. Companies can still serve ads as long as they aren't doing so in a predatory way. I don't really like the idea of working on something like this, but I can see the need for customer facing businesses to market their products and it will still be very lucrative, just not as much as it was when the industry was completely unregulated.

      Second w.r.t their reputation being hurt. If they are doing something shady then they deserve to be sanctioned imo, we can't turn a blind eye to unethical behavior just because it's lucrative, and I would argue innovation with a tangible human cost is not worth pursuing.

      This is hyperbole because the ad tech scenario isn't as bad, but think about slavery. Obviously it's very lucrative to the company to have slaves instead of a paid work force, but I don't think anyone would argue that mandates against slavery are stifling innovation because it's hurting the company's bottom line.

      I would actually argue regulating the advertising industry will promote innovation in other aspects of G/F's businesses since they need to somehow make up the lost revenue from one of their other income streams. Theyll (hopefully) shift engineering talent elsewhere.
      Apr 23
  • Dell
    ಆರ್ಯ

    Go to company page Dell

    ಆರ್ಯ
    I hope India comes up with similar or more strict regulations. Data in this country is exploited beyond imagination!
    Apr 23 3
  • Apple
    Sweetfruit

    Go to company page Apple

    Sweetfruit
    Meta has already realized that if they want to play the game for the long haul they have to steer away from data and move into AR/VR. To be fair, the platform thrived when internet regulations were yet to come of age. The past decade has shown how potent a social networking behemoth can be. This is visible now in even democratic countries like the ones in EU and India. The ones that are safe from this are product companies like Apple, Microsoft and so it makes sense to turn Meta into a product company that makes consumer electronics(Occulus Quest, Ray Ban Glasses). Since Meta is the biggest player in this domain as of the moment, it has the early mover advantage that it must capitalize on.
    Apr 23 1
  • Google
    UWOM24

    Go to company page Google

    UWOM24
    No idea. We just write for-loops to get paid.
    Apr 23 1
    • Vivino / Eng
      McFondles

      Vivino Eng

      McFondles
      OP
      Most want us to believe we're about to end that iteration. But I'd like to think Engineering is an infinite loop.
      Apr 23