Facebook’s share price has taken a beating today after the company’s earnings failed to meet expectations. The stock dived 26% in response and is now at its lowest point since 2020.
There have been many talks of late about how Facebook is affecting society. The social media site has become an outlet for people to voice their political agendas and Create stress. Still, this drop in usage could be because some want less censorship over what is posted on the network.
Facebook has been involved in many scandals, and the days of people getting together are over. Facebook has become more invasive than ever and negatively influencing its users. The influence structure has divided its base with divisiveness.
The divided base has different views on what they would like to see, but the common consensus is their Facebook experience is negative. Many users feel Mark Zuckerberg focused on a political agenda instead of offering a good user experience.
When asked what users would like to see on Facebook, the divided base had various suggestions. Some wanted more engagement from their friends and family, while others were hoping for less clutter in feeds or an improved algorithm that prevents biased content from showing up as often. However, there was a clear consensus: something must be done about this negative experience!
All this negative feedback is for sure contributing to poor earnings performance. Facebook needs to come up with something new to incentivize users.
Fortunately, Facebook (Meta) is a diversified company. Mark Zuckerberg needs to solve the user experience problem with Facebook and promote innovation with Meta’s other outlets.
It seems like Meta is currently putting all its eggs in the metaverse basket. The metaverse is a fascinating concept. It will have plenty of competition, but it’s still worth exploring because our future could be inside these virtual worlds.
From a guidance standpoint, diversification will still be essential for Facebook (Meta) to keep up with Microsoft, Google, and other leading tech companies.