Saturation 💬

Saturation

The whole situation regarding Elon Musk’s takeover of Twitter shows a general opinion on necessary reforms in the business of social media. With concerns about privacy at an all-time high and political overlap becoming a problem with things like hate speech, social media companies have caught themselves in the middle of this mess. This was further amplified when the whistleblower from Meta Platforms (known as Facebook) leaked nasty details about surveillance and the hunger for money in whatever way possible.

When opportunity comes, people will pounce on it, and it’s adding to a market that is already oversaturated. Former President Donald Trump has explored the social media world with his Truth Social app, which has been underwhelming so far, and that is one of countless examples. Former executives of companies like Facebook and Twitter are joining in the game, the most notable one being HalloApp which was founded by 2 former WhatsApp executives. The company has raised $15 million in venture funding, and their business model relies on a subscription over ads, which is an interesting view as companies like Meta have struggled massively with their ad business due to Apple’s new privacy policy.

In the past, it’s been a major struggle for startup social media companies to break into the tier Meta, Twitter, Google, Snap, and ByteDance have laid in as scalability is a major problem. Along with that, these companies have bought many social media startups on their way to the top, something that regulators are investigating for possible antitrust violations. However, the public eye is changing as we’ve talked about, giving way for these startups to attract their user base and slowly take out the big fish, which would shift the whole industry.

I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.

Share:
More Posts
Load More
Get your daily Invstr Crunch

Get the market news and updates you need, delivered to your inbox or available on our daily podcast.

Facebook Twitter Youtube Instagram Snapchat Tiktok
learn
products
plan
Who we are
blog

Risk Disclosure:

Invstr is not a bank and banking services are provided by Vast Bank, N.A.

Brokerage and Banking services are currently only available to U.S. residents.

Invstr app and web services are provided by Invstr Ltd. Advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC) details of which can be obtained here. Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value.

Investing involves risk and can lead to losses. Past performance does not guarantee future results.

Invstr app and web services are provided by Invstr Ltd. Invstr+ advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC). Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value. Vast Bank N.A. a nationally chartered bank and member of the FDIC, provides the banking products, including the products and services related to digital asset accounts. As with any asset, the value of Digital assets can go up or down and there can be a substantial risk that you lose money buying or holding digital assets. You should carefully consider whether trading or holding Digital assets is suitable for you in light of your financial condition. Your digital account does not support wallet to wallet transferring of your digital assets (i.e. cryptocurrencies) outside the platform. Any Digital Assets in your digital asset account are not insured by any government entities, including but not limited to FDIC or SIPC. The Invstr Visa® Debit Card is issued by Vast Bank, N.A. pursuant to a license from Visa U.S.A Inc and may be used everywhere Visa debit cards are accepted. Invstr Ltd, Invstr Financial LLC and Invstr Securities Ltd are subsidiaries of Marketspringpad Holdings (collectively “Invstr”) and Invstr is solely responsible for the application services and website content.

Watchlists provided when users first access the service are not a recommendation to invest. Instead they are provided to help users better navigate the service. Users are free to edit and create their own watchlists. From time to time, Invstr will suggest instruments solely based on an individual’s interest and the interest levels of the Invstr community. The statistical and portfolio builder models generated by Invstr do not reflect actual investment results and are not guarantees of future results. Comments provided by Invstr leaders, influencers or members of the Invstr Community are not recommendations and should not be construed as such. Invstr does not endorse the content or the positions posted by them. Their investment approach, and that of the models provided by Invstr, may be different from yours and may not be appropriate for you.