Facebook’s Quarterly Ad Revenue to Get Lift From Instagram
- Photo-sharing app may produce 20% of Facebook’s sales by 2020
- Public criticism unlikely to affect company’s earnings report
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Facebook Inc. was pummeled by public criticism over privacy issues during the second quarter, spurring an unprecedented appearance in the U.S. Congress by Chief Executive Officer Mark Zuckerberg. Don’t expect to see much evidence of that turmoil in Facebook’s earnings report on Wednesday.
The social media giant is expected to post record revenue and users in the quarter, thanks in part to the photo-sharing app Instagram, according to analysts. The business, acquired for $715 million in 2012, now has more than 1 billion users and is a big reason Facebook’s advertising machine is still growing.