Mark Zuckerberg in a company-wide virtual meeting said that Facebook is facing an unprecedented level of competition.
And the factors of low revenue forecasts added up to slash the company’s stock price last week. As it’s spurring doubt among the employees, Zuckerberg directed them to focus on a short-video product, which he hopes to be a lucrative future for the company.
Zuckerberg On Company’s Future
Meta’s slashing of market value last week is a big blow. The company has lost over $250 billion in worth on reducing DAUs, whereas the CEO Mark Zuckerberg lost more than $30 billion out of it. This led everyone in the industry to doubt Meta’s potential in the future, and fear investing or being employed in it further.
So to clarify their doubts and support, Zuckerberg in a company-wide virtual meeting has said to employees that, the company is facing an unprecedented level of competition from the rivals, which combined with the weak forecasts of revenue has shaken the investors’, ultimately losing their confidence.
Facebook has also predicted that Apple’s App Tracking Transparency policy can affect the company by about $10 billion in revenue, and the selling of its ambitious cryptocurrency project Diem last week, all hit up immediately. Since the company’s going through a rough phase, Zuckerberg advises employees to focus on the short-video products.
And this could be Reels from Instagram, which is an in-house-made replica of TikTok, that rose to popularity in a short span. Also, Zuckerberg said that they’re thinking of expanding the current 3-day work week, but also stated that a prolonged mode of such can affect productivity.
The company is about to enter the bonus offering period to its employees (set in March), where everyone could consider making decisions of sticking or leaving the company.