The rule does NOT apply to standard images you upload to your page, but only images you promote in the newsfeed
Thumbnail images for videos or links that you promote in the newsfeed as ads are subject to the 20% rule
As of this week, announced in a tiny update on Facebook’s Developer Blog, the rule applies to application icons (which includes timeline tab images too) ***UPDATE***: Facebook reps have indicated that the text rule does NOT apply to the thumbnail icons, but they still recommend using images with little to no text.
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