By Zainab Iwayemi
Facebook, the world’s largest social networking platform has witnessed a significant increase in the number of users and revenue amid the coronavirus outbreak. Data presented by BuyShares shows that the number of Facebook’s monthly active users hit more than 2.8 billion in 2020, while revenues jumped by 20 percent year-over-year to $85.9 billion.
Since founded in 2004, Facebook has earned its mark as the leading social networking service based on global reach and total active users. According to the company’s data, the popular social media platform had 431 million users in the first quarter of 2010. This skyrocketed following the next two years as the number of Facebook active users surpassed one billion, making it the first social network ever to do so.
The trend continued as the number of monthly users continued soaring the following years and hit more than two billion in the second quarter of 2017, with the total number of active users consequently rising to almost 2.5 billion that year. The company’s quarterly earnings report revealed that Facebook gained 369 million users between 2017 and 2019.
This was further triggered by the COVID-19 pandemic, which drove millions of people to start spending more time indoors and online. Statistics show that the number of users jumped by nearly 300 million year-over-year and reached 2.8 billion in 2020, the highest annual rise in years.
In addition, the number of daily active users also surged amid the lockdown, increasing from 1.65 billion in the last quarter of 2019 to 1.85 billion in the last quarter of 2020. By that period, around 3.3 billion people were using at least one of its core products each month, including WhatsApp, Instagram, or Messenger, the company data reveals.
Facebook revenue soared in three years
Statistics show Facebook’s revenue doubled in three years jumping from $40.6 billion in 2017 to $86 billion in 2020 due to the constantly growing Facebook user base. The year 2020 saw the social network accumulate a net income of $29.15 billion, ranking first among other social media companies.
Similarly, the quarterly revenue surged by 33 per cent year-over-year and hit $28 billion between September and December 2020, the most significant increase so far while other revenue streams generated $885 million in revenue.
While the company’s earnings report attributed the surge to revenue generated through advertising, statistics also show the majority of Facebook’s ad revenue in 2020, representing 94 per cent, was generated via mobile devices.
Importantly, when compared to other social media platforms, Facebook has more users than YouTube and TikTok combined. Statistics show the two social networks recorded 2.3 billion and 689 million users respectively as of January.
Additionally, while India accounts for the highest Facebook market globally, with 320 million users as of January, the United States, Indonesia, Brazil, and Mexico follow respectively, with 190 million, 140 million, 130 million, and 93 million.
Finance February 12, 2021