Shares of Meta, which owns the social networking site Facebook, lost more than 20% of its value (about $200 billion) on the New York Stock Exchange in one day on February 3. This is due to the fact that for the first time in its 18-year history, Facebook has decreased the number of daily active users. According to the company’s report for the fourth quarter of 2021, this figure in October-December last year was one million users less (1.929 billion) than in the third quarter (1.93 billion).
This is partly due to the growing competition between Facebook on the one hand, and Youtube and Tik Tok on the other, which are increasingly attracting younger users. At the same time, compared to 2020, the number of active daily Facebook users increased by 5 percent.
Meta CEO Mark Zuckerberg has announced weak revenue growth for the current quarter, again due to growing competition between various social networks for user attention and time, which is affecting Instagram and WhatsApp, also owned by Meta.
Stocks of many other social networks, streaming services and technology companies suffered during trading on the exchange: Twitter (-8%), Pinterest (-10%) and Snap (-18%), Spotify (-22%), Amazon (more than 3 percent ).