Facebook's Teen Problem Is Finally Showing Up
Shortly after Facebook's (NASDAQ: FB) initial public offering (IPO), many investors started expressing concerns about the social network's cachet with teenagers. Former CFO David Ebersman added fuel to the fire in 2013 when he told analysts teens in the United States are spending less time on Facebook.
Those concerns lingered for a while before Facebook proved no one -- not even Snap's (NYSE: SNAP) Snapchat -- was really taking teens away in those years. But a more recent report from eMarketer says the number of American teens using Facebook fell 1.2% in 2016, and that rate will accelerate in 2017 to 3.4%.
The good news is teens are spending more time on Instagram, which Facebook bought in 2012. The bad news is they're also flocking to Snapchat. Should Facebook investors be concerned about its teen problem?
Source: Fool.com
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