If you are a Facebook user (and there is a good chance that you are since in a study taken in 2005 it was found that one in five people use Facebook) then there is an even better chance that you heard the news about the great stock market crash only a couple weeks ago.
In one day Facebook’s stock lost approx. one-fifth of its value and by the end of the day close to 34 million shares changed hands. With a 20% decline, this is the biggest hit Facebook has taken since they decided to go public in 2012.
So, the most often asked question going around is, HOW did this happen? There are many speculations but according to founder Mark Zuckerberg, it has not been totally unseen. Since the recent change in Europe’s privacy laws facebook has been working harder to remove violence and fake news spread throughout the site.
He believes that this user decline and stock market issue may be partially due to that, but at least the experience for the users that they do have will be greatly more improved. “As I’ve said on past calls, we’re investing so much insecurity that it will significantly impact our profitability. We’re starting to see that this quarter.”
There are many differing opinions and viewpoints on this issue, but one thing is for sure, no one seems to think that this is the end for Facebook. After seeing it make it through the crash in 2012 there seems to be full confidence in seeing another such comeback.
And that leads us to yet another question. If there can be such a fall with a social empire like Facebook, does this mean it can happen or other such social sites? Take Twitter, Instagram, and Tumbler. What is in the future for them? Is this an epidemic, or a contained illness? Honestly, probably only time will tell.
I can tell you one thing that I know for sure however, we’re going to continue watching while continuing to use our Facebook account