In perhaps the most anticipated news in years, it appears that Facebook (oh, sorry, “Meta”) is finally realizing that it is not utterly omnipotent.
In a recent earnings call, CEO Mark Zuckerberg reported the first reduction in users in the company’s nearly 20-year history, as well as increased pressure from TikTok and Apple, the former of which is a social media giant from China and the latter of which has implemented a series of privacy policies that severely irritated the private data-loving and -selling Zuckerberg.
And, in response, investors are now fleeing Facebook in droves, and the company has now made history for rather dubious reasons, as detailed by Zachary Halaschak at the Washington Examiner.
“Facebook parent company Meta shed more than $220 billion in market capitalization on Thursday, the largest such single-day decline for a U.S. company in history,” Halaschak writes, “[closing] down more than 26% on Thursday, an 85-point decline.”
Additionally, Zuckerberg apparently lost $24B in a single day as a result of the company’s precipitous decline.
Facebook’s crash easily surpasses that of Tesla, Apple, and other companies, and, with any luck, perhaps the management, starting with the CEO, may start really closely evaluating the real reasons it is experiencing a dramatic decline in users.
After all, Zuckerberg can blame TikTok all he wants, but the reality is that the company likely began to sink itself when it decided to become an effective arbiter of political truth.
While Facebook is performing very poorly on the markets now, it is worth noting just how horrifically the company has contributed to a range of political consequences.
The social media platform did play a highly distressing role in electing perhaps the most incompetent administration in history, not to mention a highly distressing role in a number of election destabilizations overseas.
On top of that, the company had the gall to permanently ban former President Donald Trump from the platform and put on some big public show about its supposed commitment to democracy.
That’s rather rich, coming from a company that has bought out every competitor possible (i.e., Instagram) or attempted to smash any companies that refused to be acquired (i.e., Snapchat).
Facebook’s anticompetitive business practices, which would be vastly more at home in communist China, are further exacerbated by the fact that the company has apparently decided to launch a full-on assault on conservatives.
After all, how many different individuals have been “fact checked” and put in “Facebook jail” for daring to post something remotely conservative?
Or, for that matter, daring to question Fauci, who, more often than not, flip flops like crazy anyway?
Clearly, diversity isn’t working out very well for Facebook, chiefly diversity of thought: After all, if the company employs a bunch of largely brainless wokes, then it is no surprise that all the wokes think eliminating conservative opinions is a good idea.
Until, of course, those conservatives bid Facebook adieu for good, to the extent that financial analysts are now musing about the potential irrelevance of the social media platform in the semi-near future.
Ross Sandler, an analyst at Barclays, certainly has concerns about Facebook’s long-term future, as evidenced from a remark far more thoughtful than the standard tweets from woke politicians.
“It’s not a major surprise that core blue is maturing and TikTok is gaining traction among the younger demographic,” Sandler stated, “but following what was one of the roughest Meta conference calls in years, we think investors may start to question whether team Zuckerberg can salvage any growth out of FB, or whether the asset that represents two-thirds of revenue is in secular decline mode.”
One thing is for sure: If Zuckerberg insists on aligning with the Democrats and their sinking ship, not to mention hurling conservatives off the platform, even less growth will be available to “salvage.”
Author: Jane Jones