Facebook Loses Over $60 Billion in Market Value in 2 Days

rgMekanic

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In the wake of the Cambridge Analytica scandal, Bloomberg is reporting that Facebook Inc. has lost over $60 billion in market value in just 2 days. To put that in perspective, Tesla Inc. is worth $52 billion, and Snap Inc, Snapchat's parent company is worth about $19 billion.

We will just have to wait and see how low Facebook's value can go, and if the company will recover from this. Two days ago we reported that if Facebook did violate an FTC privacy deal, they could face fines around $2 trillion dollars, which I would assume, would hurt their stock price further. Thanks to cageymaru for the story.

Facebook shares tumbled 6.8 percent on Monday, the most in almost four years, and the selloff resumed on Tuesday with news that the U.S. Federal Trade Commission is reportedly investigating the handling of user data, and a report that Chief Security Officer Alex Stamos plans to leave. Shares fell 4.7% to $164.51 at 2:23 p.m. in New York.
 

BB Gun

[H]ard|Gawd
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When the obama campaign does something similar, nobody bats an eye. When CA does it, everyone loses their minds!

(no, the situations are NOT identical as CA did do some shady stuff... but the 2012 campaign coverage quotes...... could you imagine the whining if they came from the right side of the spectrum?)

The campaign didn’t just know who you were; it knew exactly how it could turn you into the type of person it wanted you to be.
...
Obama’s campaign began the election year confident it knew the name of every one of the 69,456,897 Americans whose votes had put him in the White House. They may have cast those votes by secret ballot, but Obama’s analysts could look at the Democrats’ vote totals in each precinct and identify the people most likely to have backed him. Pundits talked in the abstract about reassembling Obama’s 2008 coalition. But within the campaign, the goal was literal. They would reassemble the coalition, one by one, through personal contacts.
https://www.technologyreview.com/s/509026/how-obamas-team-used-big-data-to-rally-voters/

The campaign’s exhaustive use of Facebook triggered the site’s internal safeguards. “It was more like we blew through an alarm that their engineers hadn’t planned for or knew about,” said [Will] St. Clair, who had been working at a small firm in Chicago and joined the campaign at the suggestion of a friend. “They’d sigh and say, ‘You can do this as long as you stop doing it on Nov. 7.’ ”
http://www.nytimes.com/2013/06/23/magazine/the-obama-campaigns-digital-masterminds-cash-in.html
 

King of Heroes

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Facebook loses $60 billion, then you realize its still worth $476.83 billion. Lots of padding still left and the 2020 elections are still 2 years and change away. Plenty of time for this to blow over.
 

oldmanbal

2[H]4U
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Aug 27, 2010
Messages
2,261
Only hurts the shitbirds that have facebook stock and promote a company like that. Facebook has always had issues monetizing their product considering the unprecedented reach they have. The fact that a single bad headline can tank the value of your company to the tune of 50 billion dollars is in the realm of fantasy. If you were to compare a lot new highly valuated stocks to various hollow crypto currencies, I don't think you would be able to tell the difference.

To lose 60 billion dollars in a day takes wanton greed and malfeasance hitherto only known by the US military. The fact that the Facebook stock was valued at 60 billion more than it is now should be a crime of itself. I can't eat/drink it, I can't breath it in, and I definitely can't sleep under it. Let it go the way of myspace.
 

Ur_Mom

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Messages
20,270
I'm sure they will get off easy. It'll just be a cost of doing business. I'd love to see huge fines, but I really don't see it happening. These big companies are very protected. See: Equifax.

Maybe just with an apology and a slap on the wrist.

 

heatlesssun

Extremely [H]
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Messages
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When the obama campaign does something similar, nobody bats an eye. When CA does it, everyone loses their minds!
A lot has happened since 2012 though involving social networks data security. LOTS more people on these platforms, their market value has skyrocketed and there's been lots of high profile lapses with data security like Equifax.
 

sboucher

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Facebook loses $60 billion, then you realize its still worth $476.83 billion. Lots of padding still left and the 2020 elections are still 2 years and change away. Plenty of time for this to blow over.
Pretty much. I'm gonna wait to see if it goes any lower, then buy more stock.
 

PantherBlitz

Limp Gawd
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Apr 14, 2011
Messages
421
Not much of a story. The number of accounts Facebook will close due to this will probably be measured in the dozens. By year's end revenue will be what it was and the stock price will go back up. Wall Street always does this.
 

naib

[H]ard|Gawd
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Messages
1,289
nowhere near enough. More $$$ needs to be "lost" and significant users need to leave
 

oROEchimaru

Supreme [H]ardness
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4,662
too many people communicate with families on FB... (long distance) for it to go away unless something massively happens (shut down) most people will still use it.

For every person that is upset:
a. they keep posting fake stuff (both parties)
b. they keep filling out surveys and fake apps to "find out who your lover is" or get free points in a game aka "give away all of your privacy, your friends and kids"
c. keep giving all their info away for free (imagine if pedos make a facebook app)

this wont stop... heck the people that complain go on facebook and do a, b and c the very same day.
 

oROEchimaru

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maybe it is karma for zuckerturdburger buying properties in hawaii and blocking locals and islanders out... building walls etc
 

Seventyfive

[H]ard|Gawd
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Messages
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$60 billion isn't that much when you put things in context. FB is just back to where it was in July of last year....
 

Seventyfive

[H]ard|Gawd
Joined
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Messages
1,347
When the obama campaign does something similar, nobody bats an eye. When CA does it, everyone loses their minds!

(no, the situations are NOT identical as CA did do some shady stuff... but the 2012 campaign coverage quotes...... could you imagine the whining if they came from the right side of the spectrum?)


https://www.technologyreview.com/s/509026/how-obamas-team-used-big-data-to-rally-voters/


http://www.nytimes.com/2013/06/23/magazine/the-obama-campaigns-digital-masterminds-cash-in.html
Not to mention that Sheryl Sandberg was emailing back and forth with Podesta in 2016 but no big deal...

https://wikileaks.org/podesta-emails/emailid/56638#efmAAGAA2ADoAD0AElAE1AFCAFRAHdAI2
 

Kdawg

Gawd
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Aug 12, 2017
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979
stock traders needed an excuse.

if you invested in 2013, you would have had 100%+ yearly return every year. damn!
 

snowcrash

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All this does is continue to affirm the stereotype that conservatives know how to play dirty and liberals are p***s.
 

WhoMe

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Time for a new startup. Think I'll call it mebook (selfishbook just doesn't have a ring to it).
 

Tweak42

Gawd
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Dec 1, 2010
Messages
609
Will this finally be the blowup that causes the general public to take a step back and consider how endemic personal data analytics has entrenched on all social media platforms?

No one has said anything about google's data sharing policies and hardly any mention of twitter.
 

WhoMe

Gawd
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Messages
827
Will this finally be the blowup that causes the general public to take a step back and consider how endemic personal data analytics has entrenched on all social media platforms?

No one has said anything about google's data sharing policies and hardly any mention of twitter.
For a week or two at best, then it'll all be forgotten as some new scandal comes along and FB stock recovers. No doubt FB will add some new (meaningless) privacy settings. In all it reminds me a lot of how MS address concerns in Windows 10.
 
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