The trend: It’s been called many names by many companies—restructuring, reorganizing, reshuffling—but the signs are clear: Social media and Big Tech are going through a dramatic shift as the economy and state of digital advertising enter uncertain territory, forcing companies to focus on the core of their businesses.
Social media faces the music: Last year’s AppTrackingTransparency (ATT) change upended the mobile app industry, sending social media platforms in search of new tracking solutions and revenue streams.
No turning back: Tech’s reassessment of priorities will result in some shorter-term advertising revenue gains for firms with large, established consumer bases. But many companies are also deeply entangled in projects that could take years to see through.
The big takeaway: Companies with existing advertising infrastructure and well-established market share will benefit most from the refocusing on advertising revenues, as will newer platforms enjoying upward growth.