If there’s anything that everyone knows about Meta, it’s that it’s big.
Not just any kind of big, but big-big.
So when Meta’s stock value plunged by around 25% at approximately US$200 billion (approximately S$260 billion) yesterday (3 February), questions about the social media and tech giant were inevitably raised.
Slower Growth
Although it is undeniable that Meta is still a company that has continued to grow on a large scale, with 2.8 billion users using one of their four platforms at least once every day and 3.6 billion users that do so at least once every month, it is also worth noting that their growth has slowed down in recent times.
Facebook, which is owned by Meta, has over two billion users per day. However, in the second half of 2021, it was recorded that the popular social media platform was losing over a million users per day, a statistic that caused investors to be wary.
This marked the first time that the user base of Facebook had decreased in size.
Financially, Meta has also seen a drop in its profits. Although Meta made a turnover of US$33.67 billion for the whole of 2021, a value in line with its forecasts, it only made US$10.3 million in the fourth quarter of 2021, making its sales 8% less than last year.
Additionally, Meta, which also owns platforms such as Whatsapp and Instagram, is also facing stiff competition by other platforms such as TikTok that have gained a large amount of attention worldwide, making it hard for Meta to conquer the social media cyberspace like how it once did.
Apart from Meta itself, CEO Mark Zuckerberg also suffered a personal loss of US$25 billion (approximately S$33 billion) in his own personal holding.
Join our Telegram channel for more entertaining and informative articles at https://t.me/goodyfeedsg or download the Goody Feed app here: https://goodyfeed.com/app/
Meta Reality Labs
Meta Reality Labs, the company’s augmented and virtual reality business, also suffered a net loss of US$10.2 billion and only revenue of US$2.3 billion in 2021.
This was a colossal amount, compared with the US$6.6 billion loss the previous year.
However, Zuckerberg had previously mentioned that that operating profit for 2021 would be reduced by US$10 billion due to the decrease in Meta’s investment towards Meta Reality Labs for 2021.
He also mentioned how Meta Reality Labs “would not be profitable anytime in the near future”.
- 30YO Driver Arrested After Hitting Church & Also Attempt to Knock Down PMD Rider After a Dispute
- Everything About The Tinder Swindler, a Documentary That Just Dropped in Netflix
- 2 Members of Parliament Just Tested Positive for COVID-19
- CNB, SP & IRAS All Warn of Impersonation Scams in a Day
- Iris Koh Given New Charge for Tearing up Statement While in Lockup, But is Finally Granted Bail
Featured Image: Meta
Read Also:
- You Can Soon See “Northern Lights” in Gardens by the Bay & It’s Free
- Everything About the Eta Aquarids Meteor Shower That’ll Be in S’pore Sky in May
- S’porean Killed in Spain Had Bought Insurance Policy from Suspect
- Everything About the 15YO Who Lived in a Circuit Road Market Stall
- Walk-Ins for Some Traffic-Related Service in TP Be Discontinued & People Have Book Appointments Instead
- Certain Parts of Telok Blangah Hill Park to be Closed for 2 Years After Slope Failure
Advertisements
