To quit or not to quit
Your plan is to make a product in 2 years, a year and 2 months in, Facebook releases the same product... what do you do? Back to drawing board?
You should keep going because if Facebook is making the same product it might mean you are on to something. There is lots of examples of two companies who have the same product and both are successful, think of Uber & Lyft or McDonalds and Burger King. Lastly it seems like your product is taking way too long, try making a minimum viable product with only the essential features and see if you can get feedback on!
@jan_mazurek 2 hours? maybe it's possible depending on your coding skills. What I'm talking about is a mindset: build fast so you can iterate even faster... You can't take for granted that your idea is good, that people will pay for your solution, or even that the problem which you aim to solve is real. In essence, build something that your intended users can use ASAP. So they can start telling you if it works or doesn't. And both the answers have value. If it's good, dive in. If it's not, consider a pivot.
@jan_mazurek Just an example. I'm a non-technical founder. Without money. And without co-founders. Even so, I'm building my e-grocery startup MVP on Bubble.io. Probably 4 weeks building it now, 1 or 2 weeks more it will be ready to "go to the streets". And I never wrote a single line of code nor knew bubble before. mercadotero.com.br Go check it! =) (I'm from Brazil)
Well I guess it depends on other factors to, but I believe that if your original plan and goal was about the product and not just profits and popularity then Facebook shouldn't be the primary determining factor in quitting or staying. So I vote NOT TO QUIT! Not everything Facebook attempts is successful.
My first supervisor had similar problem - his idea was in progress when big IT company released very close product for free. He decided to quit while code was ready in about 50%. Also when he was doing the project, he found many contacts that were possible clients for his new starting company but not exactly interested in the product.
Working at Codeally.io
Keep going forward. If Facebook works on the same thing, you might be on a good track. Find your niche, something that would make an answer to "Why should I use X over Facebooks Y" compelling. Mark Zuckeberg once said that you can't win trying to copy Facebook. So don't ;) It's likely that your product has it's own niche and as history shows, it might be a bigger one ;)
Co-founder, Big Kitty Labs
Before I get to do I wanna know more. Like 1, did ya build a product for 2 years ontop of facebook? if yes, you knew this going in, and you had no alt network strategy? 2, if the concept is tangent to fb the its a race to users and then happiness, when I use you, I feel so damn happy, thats a hard model to live on, eventually you die or get acqu-hired, 3, find the other 3 startups the get killed when this happens as well, theres other people, are you further along, sell and get acquired, or merge and kick ass, or watch and see what happens, maybe fb will eat them and not you, 4, analyze the crap outa what they do marketing/product/happiness wise and try to be ahead of it, 5, make sure your tech has a meatier moat even if its purely perception, ideally you back it up with more than that. Overall yer not dead yet.
Replacing complexity with simplicity
One of the falsest notion that people starting on their entrepreneurial journey is the concept of "unique product" or doing something that no one else has done before. If you are building what you are building because you love it and you have the passion and drive to see it through, you are much more suitable to make it successful than a big corp, whose product strategy is always driven by inertia and fear of being irrelevant.
BA student, freelancer, future-loving
Definitely keep going, big tech doesn't always win. As an entrepreneur you have the gift of independence. You can try things out without risking your reputation, don't have to absolutely create "the next big thing" and are able to communicate with your target group more directly (and friendly). Worst case, if you're doing a good job, Facebook (or a competitor) buys you up.