The firm said on Thursday evening that it was winding down Loon, a nine-year-old project and a two-and-a-half-year-old spin off firm, after failing to find a sustainable business model and partners for one of its most prominent moonshot projects.
The demise of Loon, which assumed spotlight after the project helped restore cell services knocked out by a hurricane in Puerto Rico, comes a year after the Android-maker ended Google Station, its other major connectivity effort to bring internet to the next billion users.
Through Station, Google provided internet connectivity at over 400 railway stations in India and sought to replicate the model in other public places in more nations.
That said, Alphabet’s move today is still surprising. Just last year, Loon had secured approval from the government of Kenya to launch first balloons to provide commercial connectivity services — something it did successfully achieve months later, giving an impression that things were moving in the right direction.
On its website, Loon has long stated its mission as: “Loon is focused on bringing connectivity to unserved and underserved communities around the world. We are in discussions with telecommunications companies and governments worldwide to provide a solution to help extend internet connectivity to these underserved areas.”
Perhaps the growing interest of SpaceX and Amazon in this space influenced Alphabet’s decision — if not, the two firms are also going to have to confront some difficult feasibility questions in the future.
“We talk a lot about connecting the next billion users, but the reality is Loon has been chasing the hardest problem of all in connectivity — the last billion users,” wrote Alastair Westgarth, chief executive of Loon, in a blog post.
“The communities in areas too difficult or remote to reach, or the areas where delivering service with existing technologies is just too expensive for everyday people. While we’ve found a number of willing partners along the way, we haven’t found a way to get the costs low enough to build a long-term, sustainable business. Developing radical new technology is inherently risky, but that doesn’t make breaking this news any easier.”
The blog post characterised Loon’s connectivity effort as success.
“The Loon team is proud to have catalyzed an ecosystem of organizations working on providing connectivity from the stratosphere. The world needs a layered approach to connectivity — terrestrial, stratospheric, and space-based — because each layer is suited to different parts of the problem. In this area, Loon has made a number of important technical contributions,” wrote Westgarth.
What happens next
In a separate blog post, the firm said it had pledged a fund of $10 million to support nonprofits and businesses focussed on connectivity, internet, entrepreneurship and education in Kenya.
Alphabet also plans to take some of Loon’s technology forward and share what it learned from this moonshot idea with others.
Additionally, “some of Loon’s technology — like the high bandwidth (20Gbps+) optical communication links that were first used to beam a connection between balloons bopping in the stratosphere — already lives on in Project Taara. This team is currently working with partners in Sub-Saharan Africa to bring affordable, high-speed internet to unconnected and under-connected communities starting in Kenya,” the firm said.
Scores of firms including Google and Facebook have visibly scaled down several of their connectivity efforts in recent years after many developing nations such as India that they targeted solved their internet problems on their own.
It has also become clear that subsidizing internet access to hundreds of millions of potential users is perhaps not the most sustainable way to acquire customers.
5 Effective Ways to Run Facebook Ads A/B Tests
Facebook Ads A/B Tests or split tests help them try different versions of ads with various campaign elements. This process helps them arrive at the best version for the organization’s target.
A/B Tests offer a vast pool of resources to try out various versions. You may get caught up and lose your way to arriving at the best version in a limited time. To better understand this topic you can read the Facebook ad testing guide. Here are five effective ways to run Facebook Ads A/B Tests-
1) Start with the minimal number of variables
This approach will help you analyze the impact of a variable much better. The lesser the variables, the better will be the relevant results and more conclusive. Once you have various versions, you will need to run them through the A/B Significance Test to determine if the test results are valid.
2) The second way is to select the correct structure.
There are two structures in A/B tests. One is a single ad test, and the other is multiple single variation ad sets. All the variations will go under one ad set in the first structure. Each variation will be under a separate ad set in the second one. Out of the two, the second one works out to be better and gives better results.
3) Use of spreadsheets is important to stay organized.
These spreadsheets help collect and analyze data to get meaningful insights and arrive at data-backed decisions.
4) Do target advertising and set realistic time goals.
One approach is to choose an entirely new set of audiences. Also, the data pool should be vast and not the same as some existing campaigns. The reason for choosing a different audience is that Facebook may mix up your ads and give contaminated output.
Another approach to choosing the right audience is to pick geography. It works better, especially when you have business in a particular region.
It’s also essential to set a realistic timeline for your testing. Facebook suggests one should run a test for at least four days, but you can choose to run the test for up to 30 days.
5) Set an ideal budget.
The concept of a perfect budget is subjective. But, you can fix it yourself, or Facebook can do that for you based on your testing data. A large part of the test budget is spent on avoiding audience duplication. If the same audience sees variations, it could affect the test results.
Besides these top five effective ideas, you will need to take a few more action points to make the testing process efficient. Make sure you put the website’s domain link and not the landing page link in the ad, as that doesn’t look good. Put appropriate Call To Action Button, such as ‘Learn More,’ ‘Buy Now,’ etc. It’s also important to see how your ad is coming across on various electronic gadgets- mobile, tablets, etc.
Another strategy that works is trying to engage the customer. You may add social engagement buttons such as ‘Like’ or ‘Comment.’ Use high-resolution images as they work better with the customers. Low-quality, highly edited images are often not liked and trusted by the consumers.
You can learn more about the audience behavior patterns with A/B test results. Conducting these tests on Facebook streamlines the entire process and makes it smooth for you. With the test results, advertisers and marketers can work on the creatives they need to utilize.
To sum it up, you can run an effective A/B test campaign within the specified budget. You don’t need to spend massive amounts to get your advertisement right. You’ll make the correct assumptions about the performance of variations with a good understanding of business and consumers.
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