Zuckerberg blames Tiktok for Meta stock dropping

Shares in Meta, formerly known as Facebook, saw a drastic decline last Thursday after the social media giant declared a profit decline, reporting a sharp increase in expenses and uneasy advertisement revenue growth.

Chairman Mark Zuckerberg reportedly blamed rival TikTok. However, the increased expenses have been attributed to Meta’s recent $10bn spend on Web3 Metaverse pivot development.

As of trading on Thursday February 4, the social media platform’s shares fell more than 26% to $237.76, slicing an estimated $230bn off the company’s overall value. For Meta, this is by the record, the largest single-day decline it's ever seen.

Rachel Jones, an analyst at Global Data, said: “Meta is sacrificing its core business model for its fascination with the metaverse.

“Betting big on the metaverse isn’t a bad thing – the technology is set to be huge and provide a multitude of opportunities – but it will take at least another decade to really get going.”

With Meta platforms currently at 237.09 (as of February 4, 4pm EST), a 12% decrease in last year’s comparison, it seems that Meta will suffer considerably given the strong demand the company saw in 2021.

While you’re waiting for the world of the metaverse, you could still enjoy crypto using Bitcasino, 1xBit or FortuneJack Casino.

Looking for your next crypto casino? Check out: Bitcasino, 1xBit or FortuneJack.

Written by Isabella Aslam

Reporter

Isabella is an experienced writer in B2B and B2B journalism. Alongside crypto, Isabella writes about relationships and psychology. Isabella holds a first-class degree in music journalism and likes to interview electronic artists and DJs.

Similar News

Kraken fires 30% of workforce

01/12/2022|16:30

Cryptocurrency exchange Kraken is letting go of 1,100 of its employees, accounting for 30% of its workforce, due to the...

Copa del Rey NFT collection to be launched by...

01/12/2022|15:30

A NFT collection focusing on the Copa del Rey is going to be launched after a partnership was agreed between...