WHAT YOU NEED TO KNOW:
- Verizon announced Thursday it is pulling out advertising on both social media platforms Facebook and Instagram.
- On the same day, the Anti-Defamation League posted an open letter that slightly indicated that it saw an advertisement for Verizon coming next to footage from QAnon, a hateful and biased conspiracy group.
- On Thursday evening, it was recorded that Facebook’s stock was down by almost 2%.
On Thursday, Verizon confirmed it is to temporarily pulling out its advertisement from Facebook until the social media platform can present a comfortable solution for both parties.
A spokesperson for the telecommunications company clarified the boycott should go for both Instagram and Facebook. The move was also echoed by Patagonia’s marketing arms, Ben & Jerry’s, and REI has also said they would also follow suit.
As a result, Facebook’s stock has plummeted by almost 2% by Thursday evening.
Earlier last week, it was reported that a group called Anti-Defamation League, urged advertisers on Facebook to put their spending on hiatus on the social media network in July.
The said group comprising six establishments such as NAACP, Sleeping Giants, Color of Change, Free Press, and Common Sense, made a move to show that they will not back any company that prioritizes profit over safety.
The basis of the announcement, signed by Jonathan Greenblatt, the organization’s CEO and National Director, showed Verizon advertisement next to material from the conspiracy group QAnon. The latter was an antisemitic group that sends false warnings over the government’s response over the coronavirus crisis.
Verizon’s chief media head, John Nitti, said that the company is following firm content guidelines, and if they felt there was a violation, they responded right away.
He further noted that it would halt advertising until the company finds a solution, which is also in line with their other partners, such as YouTube.
According to the study of Pathmatics, a marketing analytics firm, Verizon spent around $406,600 for ads on Instagram from May 22 up to June 20, while $1,460,300 on Facebook within the same duration.
Facebook is yet to comment as of Thursday.
Wall Street Journal reported that last week, Facebook released an advisory from its VP of global business, Carolyn Everson, to advertisers saying that it does not “make policy changes tied to revenue pressure.” She added that Facebook operates with principles-based policies “rather than business interests.”
In an emailed statement, Everson said, “We respect any brand’s decision, and remain focused on the important work of removing hate speech and providing critical voting information. Our conversations with marketers and civil rights organizations are about how, together, we can be a force for good.”