Facebook CEO Mark Zuckerberg on a paid, ad-free site: Here’s what he said in testimony

Facebook CEO Mark Zuckerberg testimony to US Senate: Zuckerberg was questioned on how the advertising model works and whether there could be a paid version of the network.

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Facebook CEO Mark Zuckerberg was questioned on how the advertising model works and whether there could be a paid version of the sit, which would be ad-free. (Image source: AP)

Facebook CEO Mark Zuckerberg has given his testimony to the US Senate’s Commerce and Judiciary committee, where he was asked a detailed number of questions regarding user privacy, the Cambridge Analytica scandal, interference of Russia in US elections and whether the company did enough to protect users. During the testimony, Zuckerberg was questioned on how the advertising model works on Facebook and gave some interesting answers, including that the company does not sell the data of users to advertisers.

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Zuckerberg was asked about the company’s business model and how it sustained itself. One specific question by Senator Dean Heller said, “Have you ever drawn the line on selling data to an advertiser?” To this, the Facebook CEO said, they do not sell data at all. According to the Zuckerberg, when an advertiser wants to reach out to certain types of people, they can come to the company with the specifics. However, an advertiser does not get access to the individual data as such, said the Facebook CEO.

“…The way the ad system work is advertisers can come to us and say, I — I have a message that I’m trying to reach a certain type of people. They might be interested in something, they might live in a place, and then we help them get that message in front of people. But this is one of the — it’s — it’s widely mischaracterized about our system that we sell data. And it’s actually one of the most important parts of how Facebook works is that we do not sell data. Advertisers do not get access to people’s individual data,” he replied.

Facebook CEO Mark Zuckerberg on ad-free version of site

The Facebook CEO said during his testimony that users still have control over how their information is used in ads. (Image source: Reuters)

The Facebook CEO was also asked if they were considering a version of the network, where users will pay for the company to not use the information. For Facebook, where the main source of revenue is ads, the idea of a paid version of the site does not look like a reality, at least if one goes by Zuckerberg’s answer. The question was also asked in the context of Facebook COO Sheryl Sandberg’s earlier statement that the company could look at a fully paid option, where users are not targeted by advertisers, which would be an entirely different model.

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However, the Facebook CEO replied that users still have control over how their information is used in ads. “So if you want to have an experience where your ads aren’t — aren’t targeted using all the information that we have available, you can turn off third-party information,” he argued. According to the Facebook head even if the company does not run ads at all, they would still need some sort of business model.

Also read: Facebook CEO Mark Zuckerberg’s testimony to US Congress: The key points he made

When Zuckerberg was pressed that was targeted advertising was indeed the business model of Facebook, he replied that for now, the company does not offer an option today for people to pay to not show ads. “We think offering an ad-supported service is the most aligned with our mission of trying to help connect everyone in the world, because we want to offer a free service that everyone can afford,” he said. According to the Facebook CEO’s statement, this current model is the “only way” that the company “can reach billions of people.”

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When asked how does Facebook sustain its business, Zuckerberg simply replied, “Senator, we run ads.” According to the statement, advertisers only tell Facebook who they want to reach and it is the company which does the placement. “We can show the ads to the right people without that data ever changing hands and going to the advertiser,” he claimed.

He also claims Facebook’s advertising model is “often misunderstood.” So will there be a paid version of Facebook? For now, it does not look like this. Zuckerberg also said, “My top priority has always been our social mission of connecting people, building community and bringing the world closer together. Advertisers and developers will never take priority over that, as long as I am running Facebook.”