Facebook is looking to ride the visual wave, as WSJ is reporting that the company is willing to spend as much as $1 billion USD on original video content going into next year.
Back in June, Facebook disclosed that it would spend as much as $3 million USD per episode for exclusive TV programs, but the social media juggernaut is aiming to eventually pay nothing for such projects by offering creators a 45 percent share of their ad revenue.
“We’re funding these shows directly now, but over time we want to help lots of creators make videos funded through revenue sharing products like Ad Break,” Facebook’s VP of media partnerships, Nick Grudin, told The Verge.
Ultimately, Facebook is hoping to make TV a more social experience via its new Watch feature.
“You discover videos through your friends,” said Product Management Leader Daniel Danker. “You often find yourself discussing videos with friends. Video has this amazing power to bring people together and build community.”
In comparison, Facebook’s $1 billion USD investment in video would be somewhat low, as Netflix dished out $6 billion USD in 2017 and Amazon, $4.5 billion USD.