It was very clear last year that Facebook has lost it’s innovation spirit. Facebook bought Instagram in 2012 because they saw it as a competition, which they cannot compete with. One year after they wanted to buy Snapchat, double the price of Instagram but they failed. It is apparent that the company cannot innovate anymore. In 2014 they bought Whatsapp in a deal worth $19bn. There were so many criticism about the deal but the company insisted that they knew what they were doing but what is surprising and a sign of lack of innovation is Facebook introducing chat app on mobile phones whereby users using Android or IOS can only chat using the app. I am not trying to be critic but what is the point of an app that have the same functionality with the app they spent $19bn on or they only bought whatsapp because it is a competition? Facebook need to do more in gamification in order to turn their fans into loyal customers. People/Organizations usually pay for advertisement on site that can spread their message to wider audience, so if Facebook have to different apps one for chatting and the other one for Timeline where should I pay for advert? I rather use whatsapp and other chatting apps for chatting and if I don’t get to chat with my facebook friends then what is the point of having list of friends, their timeline which I have to use another app to chat with?
The fact that even when companies succeed, the only way to survive in the long term is to flee into the future by relentlessly innovating. Many tech analyst define innovation as a way to solve problem but last week Mike Butcher one of the founders of techhub twitted this “@mikebutcher: Admittedly, some tech companies *create* problems to ‘scratch an itch’. E.G. Facebook didn’t solve a problem, as such. It created an itch.”
I am not saying that Facebook is not innovative at all but the company is trying to have it all in which they loose concentration which can lead them to a big lost. The likes of Candy Crush is a good way to bring more traffic on the site and at the same many people quit Facebook because they think candy crush invitation is annoying.
My thought is that Facebook needs to innovate in order to survive but they should keep this in mind that they cannot have it all. They need to concentrate on one thing, they should be freighted with old attitudes and cultures but they should be free to create one of its own; risk taking, multi cultural and most of all entrepreneurial.