Facebook is killing its daily deals business in Austin and other pilot cities, according to a statement emailed to the Reuters news agency.
"We think there is a lot of power in a social approach to driving people into local businesses," Facebook added in the statement. "We've learned a lot from our test and we'll continue to evaluate how to best serve local businesses."
Facebook’s announcement in April came one day after Google had announced a similar pilot program in Portland. Since then, Google has slowly expanded into additional markets and recently acquired Dealmap, which aggregates daily deals and puts them on a map.
Facebook’s exit from the daily deals market has some observers asking if the golden age of the daily deals market is coming to an end. Mashable’s editor-at-large, Ben Parr, writes that “when two major players withdraw from the space and its biggest player experiences a 50% traffic decline, it’s a clear sign that the daily deals market is no longer in its heyday.”