Technology

Facebook’s ‘sad’ numbers


Facebook has had a ‘wake up’ in the past week with not so bright numbers.

$200 billion: The biggest loss in history

On February 3, after Facebook’s parent company Meta reported a drop in quarterly earnings, Meta’s shares plummeted more than 25%, causing the company’s market capitalization to lose more than 200 percent. billion USD. This has never happened before with any company in the US.

Facebook’s ‘sad’ numbers

Analysts say the cause of this “nightmare” is due to the influence of a number of factors such as: trouble in attracting young users, competition from TikTok, changes in Apple’s privacy and metaverse.

1,929 billion: User drop

Facebook’s daily active users (DAUs) fell from 1.93 billion in Q3 2021 to 1.929 billion in Q4. This is only a slight drop, but it marks a memorable milestone: the drop reduced Facebook’s DAU for the first time in a quarter.

User growth has stagnated in the US and Europe, but the biggest losses were recorded in Africa and Latin America. This is a worrying thing for Facebook’s plan to expand the market.

10 billion USD: Loss on the metaverse

One of the factors behind Meta’s disappointing earnings report was its massive investment in the virtual universe. Accordingly, Reality Labs – the company’s metaverse research division has lost more than 10 billion USD in 2021. However, this is not too surprising, because before that Mark Zuckerberg had planned to spend at least 10 billion USD. USD for the metaverse in 2021 and it is envisaged that it will not be profitable for the foreseeable future.

10 billion USD: Damage because of Apple

Meta could lose $10 billion due to the impact of Apple’s App Tracking Transparency feature. Specifically, this feature allows iOS users to prevent apps from tracking them on the web. This is bad news for Meta’s business, as it will limit advertising targeting.

$29 billion: Mark Zuckerberg’s “Sadness”

The drop in Meta’s shares caused Mark Zuckerberg to “evaporate” $29 billion of his fortune in just one day. While this is a huge drop, Mark Zuckerberg is still one of the richest people in the world.

Those might be scary one-week numbers for Meta, but overall it’s not too much of a concern as the company has already anticipated an early loss from its metaverse investment, still has cash reserves. massive built-in user base and face, plus the potential of the Oculus VR headset and the power of the Meta brand name.

Huong Dung(According to TNW)

Users drop, Facebook loses $200 billion in market capitalization

Users drop, Facebook loses $200 billion in market capitalization

Facebook’s market capitalization evaporated $200 billion after reporting business results below expectations.

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