DETROIT (WXYZ) - General Motors tells 7 Action News that the automaker will no longer pay to advertise on Facebook.
A GM official says the decision affects about $10 million of their advertising budget.
The news comes just days before Facebook's initial public offering. Their stock is set to be sold on the NASDAQ stock market starting with an IPO on Friday.
"We regularly review our overall media spend and make adjustments as needed," said a statement provided to 7 Action News Tuesday afternoon.
The automaker went on to say, "This happens as a regular course of business and it's not unusual for us to move our spending around various media outlets - especially with the growth of multiple social and digital media outlets."
Just as individuals can post to Facebook profiles and timelines at no cost, so can businesses. GM says it will continue to do this even though the company will no longer pay to run advertising on the social networking site.
"In terms of Facebook specifically, while we currently do not plan to continue with advertising, we remain committed to an aggressive content strategy through all of our products and brands, as it continues to be a very effective tool for engaging with our customers," their statement said.