Recently, the company Facebook Inc. is experiencing not the best times. After several months of scandals and criticism related to the leak of personal data, the CEO mark Zuckerberg is facing the worst day in the history of Facebook – the company’s market value fell more than $120 billion.
Wednesday, July 25, the company presented the second quarter report, which missed analysts ‘ forecasts. Chief financial officer David Wehner said that the revenue growth will continue to decline in the third and fourth quarters. Disenchantment with the investors the company’s shares fell by more than $120 billion.
Last year was really very difficult for the social network. Confidentiality of personal user data has undergone a rigorous inspection, and Zuckerberg has repeatedly testified before Congress about the mistakes of the company related to the policy, allowing the «Troll factory» vandalize Facebook.
Once in Europe entered into force on common data protection rules, Facebook has started asking people to check their privacy settings and make sure that they want to share certain information about yourself. If users prefer to distribute much less data about yourself, it may hamper the ability of the advertising targeting, which makes the social network less attractive to marketers.
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As noted by Bloomberg, this is the biggest drop in shares of tech firms in history, and may become the biggest defeat of the American company.
As a result of the collapse Zuckerberg has lost about $15 billion, so the 34-year-old billionaire with a capital of $67 billion left the top five of the richest people according to Forbes, moving from 4 to 6. the List continues to be led by Amazon CEO Jeff Bezos, on account of which $149 billion.
