Harvard Study Reveals Social Media Giants Profited $11 Billion from Minor-Targeted Ads

Recent research from the Harvard T.H. Chan School of Public Health has unveiled that social media conglomerates have amassed over $11 billion in advertising revenue from minors in the United States alone. This staggering sum highlights significant profits being generated from audience segments under the age of 18. Among the companies profiting from this demographic are two major tech entities: Alphabet Inc. GOOG and Meta Platforms, Inc. META.

Alphabet Inc. and Its Dominance in the Tech Sphere

Alphabet Inc., the parent company of Google, is an American multinational conglomerate with a commanding presence in the technology industry. As of its last restructuring on October 2, 2015, Alphabet established itself as the umbrella organization for Google and its offshoots. Founded by Larry Page and Sergey Brin, who continue to exert significant influence within the company as controlling shareholders and board members, Alphabet is recognized as the fourth-largest technology firm globally by revenue and stands among the most valuable corporations in the world. Their breadth of online services, especially those related to advertising and search, likely contribute significantly to the monetization strategies that target younger audiences.

Meta Platforms, Inc.: Fostering Connections and Monetization

Meanwhile, Meta Platforms, Inc. specializes in building products that cultivate social connectivity across various platforms, such as mobile devices, PCs, and more recently, virtual reality and wearables. Headquartered in Menlo Park, California, Meta's services encompass a wide array of social media and communication tools. With a large user base including minors, their advertising strategies have also contributed to the considerable revenues from this demographic as revealed by the Harvard study.

Understanding the Impact on Minors

The findings of the Harvard researchers underscore the profound impact and influence social media companies command over younger populations. Their ability to monetize the attention and engagement of minors through targeted advertising raises important questions about the ethical considerations and regulatory oversight of such practices. This profit generation creates a dialogue about the appropriate measures needed to protect the interests of young social media users while balancing the economic imperatives of these tech giants.

Harvard, Advertising, Revenue