Facebook (NASDAQ:FB), which has recently been under siege from a steady barrage of negative headlines, is making news again today after the head of Instagram, Adam Mosseri, announced that “Instagram Kids” will be paused. The decision comes on the heels of a scathing article in the Wall Street Journal earlier this month that detailed some troubling revelations brought forth by a whistleblower. One such disclosure was that FB’s own internal research showed that Instagram made one in three teenage girls feel worse about their body image. That same research also showed that 13% of British girls and 6% of U.S. girls attributed suicidal thoughts to Instagram. These discoveries prompted the Wall Street Journal to characterize the photo sharing app as “toxic” for teenage girls, a label that FB has vigorously fought back against.
Already in the crosshairs of politicians over anti-competitive concerns, the firestorm created by this article adds another layer to FB’s regulatory issues as its commitment to protecting kids is scrutinized. While skating on thin ice with policymakers, the considerable heat that FB is now taking from advocacy groups and from concerned parents has caused it to bolster its parental supervision tools. Specifically, the app will require parental permission for kids to join, and parents will also be able to see who their kids are following and being followed by.
FB is standing firm in terms of its intent to launch Instagram Kids once protections have been put into place and after it has addressed all the concerns. The social media giant believes that the article misrepresented its internal research by not reporting some of the positive aspects of the platform. According to FB, body image was the only area out of 12 categories regarding well-being where a significant number of teenage girls felt Instagram was harmful.
The controversy swirling around Instagram Kids isn’t the only fire that FB is trying to put out. On September 22, CTO Mike Schroepfer announced that he is stepping down, creating even more turbulence. That same day, Axios reported that the new privacy changes in Apple’s (AAPL) latest software update are causing ad revenue headwinds for FB, as anticipated. Recall that iOS 14.5 allows users to choose whether app developers can track their online activity, making it more difficult for companies like FB to offer targeted ads.