sutton049

Digital media firms have long argued against privacy regulation asserting that regulators don’t understand the ways they work, that digital firms have strong incentives to protect the privacy of users, and that the firms do so through self-regulation. Unfortunately, for years we have witnessed major digital players continually apologizing for their lapses in protecting the privacy of their customers, often violating their own policies and promises, and for not ensuring that others with whom they do business protect the privacy of the data they access and use. There has been a constant failure to put their customers’ privacy interests first and digital companies have dismissed criticism and call for regulation as misguided or perilous. The regulations that have appeared, such as the European Union's General Data Protection Regulation (GDPR), have improved transparency and the abilities to control how some of their personal information is used, but is doing little to control the ma...

Advertisers are significantly concerned about the value of digital advertising and that concern is leading them to question whether and the extent to which digital advertising will remain in the marketing and advertising mix of their companies. 3 factors are central to the discontent: suspicions about the effectiveness of digital advertising, large amounts of fake traffic, and concerns about the returns on advertising investments. Media companies, platforms, and others providing digital advertising must address these issues if digital advertising is to remain viable. Much of the concern about poor effectiveness of digital advertising is due to poor ad formats, lack of audience attention to ads, and high rates of ad blocking—currently about 40% in U.S. on computers and tablets. Such concerns have forced digital advertising prices downward for the past decade because those factors have reduced demand and because there has been a dramatic increase in advertising inventory that is making...

Social media have now permeated all aspects of life. They have become part of our interactions with family, friends, and our communities. They have been integrated with work and commerce, dating and sex , health and well-being , information gathering, and spirituality. It is an appropriate time to reflect on the extent to which they fulfil their promise improve human interactions and community. Because of their communicative abilities, their institutional arrangement, and the ways we use them, social media produce effects and create issues that cannot be dismissed and ignored. Contemporary events and research are revealing significant effects of social media and the issues they pose for society. The critical issues surrounding social media use and policy efforts involve authenticity of the communication, artificiality of community, individual behavioral and cognitive issues, narcissistic and dangerous behaviors, and anonymity and anti-social behavior. Authenticity of the communic...

The objectives of digital tracking are to identify users so marketers and content providers can know who users are, what their interests are, and how they relate to goods/services and content being promoted or provided. Although it is becoming easier to determine what individuals use digital devices, the ability to establish their identities still remains challenging because people have multiple, not just single, identities. Identity has traditionally been defined by the individual’s relationship to institutions (families, tribes, nations, nation-states, and religions). Even within this conceptualization, individuals had multiple identities: mother, member, citizen, believer. Modernity and the development of global communications and social networks, however, have expanded our conceptualization of identity and give us even more identities, some of which loosen identity bonds previously held and some of which compete with each other. The notion of identity is related to the concepts of ...

The cutbacks at The Guardian and the demise Al Jazeera America announced this month provide painful lessons that the news business is not just about providing news, but creating workable business models and gaining audiences who think their content is valuable. The Guardian announced 20% budget  cuts (£50 million; $72 million) and stretched the credibility of corporate public relations by presenting them growth strategy. The news organization has been losing money for years in a digital strategy that can only be described as hoping to buy market share through aggressive international expansion, free content provision, and the belief that digital advertising would replace declining print advertising. The Guardian ’s strategy was closely aligned to the discredited digital startup approach of considering the “burn rate” of its capital as a surrogate for prudent investment. In announcing the changes, David Pemsel, The Guardian ’s new chief executive, used trite popular business ...

Twitter is one of the best known social media services, but it is suffering from its inability to provide sufficient value to consumers, advertisers, and investors. The firm has 316 million users, a respectable figure—but 80% smaller than Facebook. Its share price has dropped below the level set when it became a publicly traded company in 2013. The company has lost about $30 billion in market value in the past two years and is now valued at $15 billion. It continues to experience negative operating and profit margins and negative return on assets, despite about $2 billion in revenue. Twitter is suffering from two fundamental business problems. First, the lack of an effective value proposition that makes it attractive to larger numbers of users. Second, lack of vision and direction. The latter led to the departure of its CEO in June 2015 and he has still not been replaced. A significant value problem for Twitter has been that it is primarily configured for short, one-way communicati...