Disney is the latest to pull out of Facebook ad spending. Like others, they claim it is because FaceBook is too divisive but that is not the real reason. Facebook has been divisive for years. The real reason is that Disney revenues are tanking and they need to cut costs or they will begin reporting profit deceleration and then outright losses.
I said long ago that the ad based revenue model was liberal and as such, it would not survive the reversal of the pendulum as things swing back toward conservatism. Facebook will be a casualty of this and so will Google. Neither have any real business model that is not ad supported. As the money dries up so will their business models.
Nobody is saying this now and nobody has said it in the past except me. I acknowledge that I am early on this call but I would not bet against my world view in the long run. Too many of the things I said to look for as signs of the end of the Global Debt Ponzi (GDP) have already happened to discount my world view.
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