Categories: Economy

Facebook in Deep Financial Difficulty after Loss of $16bn

Facebook is in deep financial difficulty after its Chief Executive Officer (CEO), Mark Zuckerberg lost more than $16 billion in less than 24 hours.

The company reported weaker-than-expected second-quarter results and issued guidance that its financial future is not as rosy as some investors thought it might be.

Set against this backdrop, one activist investor wants Zuckerberg out as the firm’s chairman.

Zuckerberg recently sparked outrage when he described Facebook’s handling of content from Holocaust deniers on the social network.

He subsequently backtracked on his comments.

Fake news remains an ongoing struggle for the social media giant. Earlier this week, the company was slammed by the parents of a Sandy Hook massacre victim for the hoax claims that emergedon the platform.

Facebook has also been sucked into the probe into alleged Russian meddling in the 2016 presidential election.

The extent of the fallout from the Cambridge Analytica scandal and the new European privacy law, known as General Data Protection Regulation (GDPR), is not yet clear.

In the U.S. and Canada, Facebook’s daily active users remained flat sequentially at 185 million, while the number actually fell in Europe, falling to 279 million, down from 282 million.

Citing the company’s “mishandling” of a number of crises, one activist investor has filed a proposal that Zuckerberg be removed as the company’s chairman, Fortune reports.

Facebook has been firmly in the spotlight in the wake of the Cambridge Analytica data sharing scandal and has also come under intense scrutiny thanks to the proliferation of fake news on the platform, something Zuckerberg apologised for.

Recent Posts

Harsh Economy: Nigerians React As President Tinubu Spotted With Over 60-Vehicle Convoy In Lagos

In a video making waves on social media platforms, Nigerians have reacted with mixed feelings…

8 hours ago

Man Arrested For Insulting President Tinubu, Sanwo-Olu, IGP

A popular Nigerian TikToker identified simply as Seaking has been arrested by operatives of the…

13 hours ago

The Longest Prison Sentences Ever Served

Throughout history, some individuals have endured extraordinarily long prison sentences, with their stories reflecting the…

14 hours ago

Families Call For Help As DSS Arrests Lovers In Osun Community

There is growing tension in Modakeke, Osun State, following the alleged arrest of two lovers,…

18 hours ago

Ibadan Stampede: I Regret Not Heeding Spiritual Warning – Woman Who Lost Two Kids

A victim of the stampede that occurred in Ibadan, Oyo State capital, which has claimed…

18 hours ago

Trending Stories In Osun Today

The vibrant Osun State is no stranger to captivating events and headlines that draw attention…

19 hours ago

This website uses cookies.