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Facebook tests waters with News Subscriptions

Mark Zuckerberg recently announced that Facebook’s new strategy to bolster the media industry is to use an old tactic: subscriptions.

For one low monthly payment

In a growing culture of algorithm driven news feeds, Facebook is looking to inject new revenue into publishers through a subscription focused model.

Payments will go directly to publishers using Facebook’s Instant Articles, offering content available for free an more locked behind a paywall.

Transactions will be generated directly through publishers’ sites with Facebook not taking cut, for now at least.

All about conversions

The main draw is the projection of strong conversion rates, but not all news outlets are convinced, with skeptics like The Guardian and The New York Times dropping from Instant Articles.

Coupled with Facebook’s recent launch of accompanying publisher logos, users will be able to search for articles more efficiently in trending news sections, adding more brand awareness for publishers.

According to Zuckerberg, the move is another step in Facebook’s Journalism Project but may also be a reaction to claims that fake news effected the US election last November. The addition of paywalls and logos should keep users more intelligibly informed.

Do you prefer paywall or freemium models? Give us your take in our comment section below.

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