How Meta’s market value plummeted by $240 billion in a single day
After creating a buzz around metaverse and spending nearly 10 times what it paid to buy Instagram in 2012, Meta’s profit fell 8% to $10.3billion in the three months ended in December from a year earlier.
The higher spending on the metaverse and Apple’s new policy around privacy made it very difficult for the smooth transformation of Facebook into Meta. As a result, after publishing the profit reports, Meta’s share plunged about 22% in after-hours trading.
Many are saying that Facebook should reconsider its approach towards metaverse for now till the company gets back on track.
Meta has already announced plans to change its stock ticket so that its share would trade under the symbol META instead of FB on the Nasdaq exchange, but it’ll be interesting to see how much this actually helps meta to get back on track.
