Stories

Facebook's challenge

Lazaro Gamio / Axios

Facebook said yesterday that it's beating Snapchat at its own game, announcing that Instagram Stories finally exceeded rival Snapchat in its number of daily active users. What should have been a great day for Facebook was overshadowed by controversy.

The issues: Facebook said "human error" failed to remove child pornography and terrorist content from its site after being flagged and reports spread that it broadcast a teen who accidentally killed himself live on Instagram.

Why it matters: Facebook has been trying to clean up the content on its site, but the moves are continually overshadowed by new controversies, allowing the advertising community to build a mounting narrative against running automated ads on its platforms. Several ad executives told Axios they're advising clients to consider buying more ads from publishers directly to avoid appearing next to controversial content.