What? Facebook just lost more than $100 billion; Huge loss for Mark Zuckerberg!

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    Just seems like a bad dream for Mark Zuckerberg, but it’s not because it is the reality.

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    Via: wordpress.com

    On Wednesday, Facebook reported its second-quarter earnings and the results, which were worse than expected, sent the company’s stock to a rapid decline, resulting in more than $100 billion off Facebook’s market value.

    A revenue of $13.23 billion and 1.47 billion daily active users has been reported by the social media company. Both numbers were just self-conscious by analyst expectations, which kept revenues at $ 13.36 billion and 1.49 billion daily active users.

    Despite the analysts’ predictions, Miss was not entirely unpredictable. Zuckerberg and other officials have been warning for months that the result of Facebook’s efforts to fix up News Feed for the promotion of “time well spent” and new GDPR rules, eventually resulted in lesser growth and fewer advertising dollars.

    Zuckerberg said, “As I’ve said on past calls, we’re investing so much in security that it will significantly impact our profitability. We’re starting to see that this quarter,”

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    The investors were still shaken out. During the call with investors, Facebook’s stock continued to immerse, which suppressed the company on slow growth and future advertising revenue.

    However, compared to the low and unimaginative performance of the company in this quarter, investors were more frightened.

    As a result of the new privacy regulations, the daily active users of Facebook did not grow the most productive advertisement market in the United States, and the social network, in reality, lost 3 million DAUs in Europe. Even in other areas where Facebook is still growing, it is growing at a very slow pace compared to the previous quarters.

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    Other areas of concern: Facebook Chief Operating Officer Sheryl Sandberg noted that Facebook is uncertain that whether Facebook’s fastest growing format or ads in stories will have monetization of News Feed ads. And CFO David Wehner said that the company expects revenue growth to fall from “high single digits” in the next two quarters.

    Instagram continues to have a shinier spot for the company. Zuckerberg said that the app’s recent growth proves what an “amazing success” the acquisition had been. He and Sandberg advertised IGTV and the development of Instagram ads in stories.

    Facebook also tried to attract some attention from its main app by sharing new statistic about the company’s “family of apps”. More than 2.5 billion people used Facebook, Instagram, Messenger, or Whatsapp i.e. at least one of its app during the month of June.

    As per Sandberg, “We are still growing and predicting growth at very healthy rates,”