Failure intelligence, not failure trivia Thursday, July 23, 2026

Mobile Software

Facebook Home

Facebook tried to put itself at the center of the phone with a home-screen takeover and a dedicated handset, the HTC First. Within weeks the phone was cut from $99 to 99 cents, and Home was quietly abandoned.

Failed launch Discontinued Moderate
Company
Facebook
Started
2013
Ended
2014
HTC First on-contract price within weeks
$99 → 99¢
Collapse speed
Rapid
Preventability
High
Lesson transfer
Industry-wide
Last reviewed
2026-07-22

Narrative

The story

The ambition

Facebook wanted to be the phone, not just an app on it. Announced in April 2013, Facebook Home was an Android layer that replaced the home screen and lock screen — greeting you with a stream of friends' photos and messages the moment you picked up the device. Paired with it was the HTC First, the closest thing to a "Facebook phone."

The rise

The pitch was bold: for the more than a billion people on Facebook, why not make the whole phone revolve around the people you care about? Home shipped as a free download and pre-installed on the HTC First, positioned as a mainstream, mass-market experience.

The cracks

Consumers did not want Facebook to take over their phone. Everything Home offered was already available in the ordinary Facebook and Messenger apps, so there was little reason for a Facebook-centric device. Worse, reviewers found Home a compromised experience — it changed how the phone worked and dropped basics like app folders — and it drew poor ratings, around 2 out of 5.

The collapse

The market verdict was swift and brutal. The HTC First flopped; within weeks AT&T cut its on-contract price from $99 to 99 cents, and it reportedly sold only about 15,000 units in its first month. Facebook quietly stopped promoting Home and let it fade, ending the phone experiment.

The aftermath

Facebook retreated to what worked — being an app, and later a family of apps, on everyone's phone rather than the phone itself. Home became a case study in mistaking reach for demand.

The lessons

Being on a billion phones is not the same as people wanting your product to *be* their phone. When a feature is already available in an app people have chosen to open, wrapping it around the entire device removes control they value and offers nothing they were missing.

Causal timeline

Failure Anatomy

  1. 2013-04

    Facebook tries to become the phone

    In April 2013 Facebook launched Home, an Android home-screen and lock-screen takeover, alongside the HTC First handset. [1]

  2. 2013

    No reason to want it

    Home's features were already in ordinary apps, so consumers had little reason for a Facebook-centric phone. [2]

    No real demand
  3. 2013

    A compromised experience

    Reviewers found Home changed how the phone worked and lacked basics, drawing poor ratings around 2 out of 5. [3]

    Poor execution
  4. 2013

    The phone flops, Home fades

    The HTC First was cut from $99 to 99 cents within weeks (~15,000 units sold in its first month) and Facebook quietly discontinued Home. [4]

    No real demand

Structured analysis

What Went Wrong

Root causes

No one wanted a Facebook-centric phone. Consumers did not want Facebook to take over their device; its features were already available in ordinary apps, leaving little reason for a Facebook-centric experience. [2]

A compromised experience. Home changed how the phone worked and dropped basics like app folders, drawing poor ratings around 2 out of 5. [3]

Immediate trigger

The Facebook phone flops. The HTC First sold poorly and its price was slashed within weeks, forcing the retreat. [4]

Visible symptoms

Price cut to 99 cents in weeks. AT&T cut the HTC First from $99 to 99 cents on contract within weeks, with reportedly only ~15,000 units sold in the first month. [4]

Warning signs

Poor ratings out of the gate. Home drew low user ratings (around 2 out of 5), signaling the concept was not wanted. [3]

Affected groups

InvestorsCustomersPartners

Evidence

Claims & sources

Every numbered marker in the analysis links to the claim it rests on, and each claim to its sources.

  1. [1]

    Facebook launched Facebook Home in April 2013 — an Android home-screen and lock-screen replacement that put Facebook at the center of the phone — alongside the HTC First handset.

  2. [2]

    Consumers did not want Facebook to take over their phone; its features were already available in ordinary apps, so there was little reason for a Facebook-centric device.

  3. [3]

    Reviewers found Home a compromised experience — it changed how the phone worked, dropped basics like app folders, and drew poor user ratings around 2 out of 5.

  4. [4]

    The HTC First flopped — AT&T cut its on-contract price from $99 to 99 cents within weeks, and it reportedly sold only about 15,000 units in its first month — and Facebook quietly discontinued Home.

Sources