Mark Zuckerberg is counting the cost of user disenchantment with Facebook Inc.
His fortune tumbled by $16.8 billion in late trading Wednesday, as shares of the social media giant slid 20 percent at 5:37 p.m. in New York on disappointing results. If that holds through Thursday’s close, he will slide to sixth place from third on the Bloomberg Billionaires Index. It would also wipe his $13.7 billion of gains for the year, leaving him with just less than $70 billion.
Well, it couldn’t last forever.
And Zuckerberg had it coming. If you believe in karma.
Facebook’s investors have been brushing off the company’s political and privacy scandals since the 2016 US election. That was until Facebook chief financial officer David Wehner said on a second-quarter earnings call today (July 25) that those scandals would take an extensive toll on the company’s finances.
Facebook expects revenue deceleration “in the high single digits for the next couple of quarters,” Wehner said, responding to an analyst who asked about the company’s “fairly dramatic deceleration in revenue growth.” And Wall Street shuddered.
Facebook’s stock plunged by as much as 23% in after-hours trading, slashing more than $150 billion off the company’s market capitalization.
In the days following Donald Trump’s election victory over Hillary Clinton, Facebook CEO Mark Zuckerberg placed a secret, previously unreported call to the president-elect during which, sources told BuzzFeed News, he congratulated the Trump team on its victory and successful campaign, which spent millions of dollars on advertising with Facebook.
The private call between Zuckerberg and Trump, which was confirmed by three people familiar with the conversation, is just one in a series of private endorsements from Facebook employees of the Trump campaign’s ad efforts on the platform. The company declined to comment on the call. The White House press office did not respond to a request for comment.
Is this going to be another Elon Musk thing where it turns out a successful CEO was — shocker! — covering his butt by backing both parties? Or does this just prove that Zuckerberg is a big Trump supporter?
@facebook really? really? How much will your stock be worth next week? How many employees, who are barely scraping by as it is, will be let go because of your alien like apathy #MarkZuckerberg If hurts more when you fall from up high.
— Cali Girl_Philly Woman (@Gitana_East) July 19, 2018
A lot of people's wallets got stuffed with some rather large amounts of money in the fall of 2016. #TrumpRussia
— #RedskinsTweetTeam #BEAGLES #LEAFS #HTTR (@harv14) July 19, 2018
Facebook is not having a good year and it's all of their own doing. Burn in hell, Facebook.
— Anita (@AnitaM86) July 19, 2018
What a spineless weasel. Too scared to do it publicly.
— Zach (@nurple180) July 19, 2018
Facebook founder and CEO Mark Zuckerberg reportedly called President Donald Trump in 2016 to congratulate him on his victory over Democratic candidate Hillary Clinton.
Many CEOs and heads of large companies publicly congratulated Trump, but Zuckerberg privately called Trump to congratulate him, according to three anonymous sources who spoke to BuzzFeed News.
Facebook considered the Trump campaign an “innovator” for its online marketing campaign, according to internal documents obtained by BuzzFeed News.
Trump’s campaign spent millions for advertisements on Facebook during the 2016 election and the report details how his campaign strategy online was far more complex than Clinton’s.
“While we offer insights into how our products work and provide technical support, campaigns make their own decisions about how to use our tools,” Facebook’s global politics and government outreach director, Katie Harbath, told BuzzFeed News in a statement.
“Facebook loved us during the campaign,” Gary Coby, the 2016 Trump campaign director of digital advertising and fundraising and Republican National Committee director of advertising, told BuzzFeed News. “Their team was heavily involved because it was a great learning experience and Hillary’s team was not doing much.” – READ MORE[give_form id=”79809″]