Although there are no official statements yet from globe telecom about them putting an end to their free Facebook promo on mobile data, people seemed to figure out quickly. When this promo started, people got the chance to enjoy using Facebook without spending anything for it. It is in all honesty free for its users. However who is actually funding this free subscription promo and why are they stopping it all of a sudden?
In 2013, globe launched its free Facebook for mobile data users. This was their best move considering that a growing number of users were already using smartphones rather than desktops or laptops. They wanted to be part of the convenience of having everything on your mobile device. And it was indeed a success because they were able to reach 140% of revenue growth a year after they launched the promo. They have even mentioned that free Facebook under globe telecom will forever stay as long as it gives them stable revenue.
But who is actually funding this promo? According to globe telecom, they are paying for the total cost of the bandwidth consumed by the free Facebook users. Although it may seemed like they are giving it for free, they were convinced that they are still making profit out of it. This could happen since a user will be charged right away once he or she goes out of the app by clicking a certain link.
The number of smartphone users at this moment is still increasing, but why is it that globe decided to retract its free Facebook promo, when more users would mean more growth in their revenue? Although they claimed that they are alone paying for the bandwidth of their users, this seems to be different in other network providers in different countries who decided to team up with the owner of Facebook, Mark Zuckerberg. It is actually the owner of Facebook himself who shoulders the cost of the bandwidth in order to provide free access for its users and in return gain more number of users and more profit for his team.
Almost all websites that you can find in the internet rely on advertisers for monetary gain. If you have been fond of watching videos in Facebook you will notice ads being inserted in the middle of some videos, this is actually how Facebook makes money. But with globe’s free Facebook promo, you can barely view a picture and how much more for a video? The only thing that works on free Facebook is its messenger, but unlike the Facebook app, it does not contain ads.