- Tram Ho
These days, Meta – the parent company of Facebook and its boss Mark Zuckerberg is having many problems in a row. First, earlier this month, Meta stock fell 26% after reporting poor earnings results. Additionally, the report also showed no growth in monthly Facebook users last quarter compared with the previous period, raising concerns about the company’s future growth. As a result, about $251.3 billion in the company’s market value was blown away. That’s the largest drop in market value for any American company ever.
Analysts point to the stiff competition Meta currently faces from rivals combined with the fact that revenue is below expectations as causes for investor concern. Michael Nathanson, an analyst at brokerage firm Moffett Nathanson, titled his post “Facebook: The Beginning of the End?”.
“These cuts are very deep,” he wrote.
Then in the middle of the month, Meta continued to be in the center of criticism when it said it was considering shutting down Facebook and Instagram in Europe if it could not continue to transfer user data back to the US.
Specifically, the social media giant made this warning in its annual report last Thursday.
Regulators in Europe are currently drafting new legislation regulating how EU citizens’ user data is transferred across the Atlantic.
“If a new transatlantic data transmission framework is not adopted and we cannot continue to rely on SCCs (standard contractual terms) or rely on other data transmission facilities,” Facebook said. As an alternative from Europe to the US, we wouldn’t be able to deliver some of our most important products and services, including Facebook and Instagram, in Europe.”
The company added this “will have a material and adverse effect on our business, financial condition and results of operations”.
“Meta cannot just threaten the EU and give up data protection standards,” European lawmaker Axel Voss said via Twitter, adding that “it would be their loss to leave the EU”. Voss has previously written a number of European Union data protection laws.
The incident caused a wave of boycotts of Facebook to take place in many places, including outside Europe. However, the storm did not stop.
Yesterday, Google made an announcement that worried Facebook and advertisers on the platform. Specifically, the search giant is preparing to introduce privacy changes to user behavior tracking on Android.
“Today we’re announcing a start to many years to come with the goal of introducing new advertising solutions that will further ensure user privacy,” said Anthony Chavez, Google’s vice president of product management. “.
According to CNBC, Google is developing new privacy-focused alternatives to its advertising IDs. This is a unique string of characters that identifies the user’s device and can help companies track and share information about the user.
Like Apple’s change, Google’s change to privacy on Android will “limit the sharing of user data with third parties and work without cross-identifiers across apps”.
These changes could affect large companies that rely on tracking users across apps, like Meta, Facebook’s parent company. Prior to that, similar Apple tweaks to iOS affected Meta specifically. Earlier this month, Meta said they would lose about $10 billion in ad revenue this year.
The news wiped out more than $230 billion from the company’s market capitalization in just one day. Last June, Meta had a market value of more than 1 trillion USD, but now, this number is below 600 billion USD, no longer in the top 10 largest companies in the world.
The question many people ask right now is whether Facebook in general and CEO Mark Zuckerberg in particular are being “beaten by the council”? In fact, Zuckerberg doesn’t have a good relationship with many big tech leaders in Silicon Valley.
Tim Cook pointed directly to the “arrogant”
A source said, the relationship between the two CEOs of Apple and Facebook has become increasingly cold. While Zuckerberg once walked and dined with Steve Jobs, the late co-founder of Apple, he did not with Cook. Cook regularly meets Larry Page, the co-founder of Google, but he and Zuckerberg rarely see each other at events like the Allen & Company conference.
The two weren’t even afraid to collide. In 2017, a Washington company sponsored by Facebook and other Apple competitors published anonymous articles critical of Cook. And when Cook was asked in 2018 by MSNBC how he would deal with Facebook’s privacy issues if he were in Zuckerberg’s position, he replied, “I wouldn’t be in this situation.”
Apple and Facebook both refused to let Cook and Zuckerberg participate in the interviews, saying the men had no personal enmity with each other.
Cook and Zuckerberg first met more than a decade ago, when Cook was just “the number two” at Apple and Facebook was just a startup.
At the time, Apple saw Facebook as a hedge against Google, the search giant that had expanded into mobile software with Android, a former Apple executive said. Around 2010, Eddy Cue, Apple’s head of digital services, reached out to Zuckerberg for a potential software partnership.
In subsequent meetings, Zuckerberg said that Apple must bring a lot of benefits to the partnership they mentioned, or else Facebook will be willing to do it alone. This attitude makes some Apple executives feel that Zuckerberg is too arrogant, the source revealed.
Elon Musk hates hate
Over the past four years, Elon Musk and Mark Zuckerberg have “warned” each other on everything from artificial intelligence to rockets.
2 tycoons – one is the owner of Tesla and SpaceX, the other is the owner of Facebook, which does not hide the animosity between the two. When a SpaceX rocket caught fire, destroying a Facebook satellite in 2016, Zuckerberg posted a statement saying he was “disappointed” by SpaceX’s mistake. And when Facebook became embroiled in the Cambridge Analytica data scandal, Musk publicly deleted the Facebook pages of Tesla and SpaceX, saying that Facebook “terrified” him.
Both Elon Musk and Mark Zuckerberg are currently the wealthiest billionaires on the planet, so their controversy creates an exceptional situation that defies Silicon Valley standards. Although it is true that both people have an interest in artificial intelligence and their companies have worked together in the past, it seems that Musk and Zuckerberg have never “getting along”.
After WhatsApp co-founder Brian Acton posted a tweet with the hashtag #deletefacebook: “Time to delete facebook”. Musk replied immediately: “What is Facebook?”.
A fan asked Musk if he would delete the SpaceX Facebook page, and Musk said: “I didn’t even know it existed. I’ll delete it right away.”
After another fan pointed out that Tesla also has a Facebook page, Musk said, “That sucks.”
Soon after, both SpaceX and Tesla’s Facebook pages disappeared.
Source : Genk