Facebook parent Meta is reportedly planning one of the biggest-ever job cuts in its 18-year history. The layoffs could affect “thousands” of workers, according to a report from The Wall Street Journal. According to the WSJ, the layoffs could be harder than the mass job cuts at Twitter, which affected about half of the company’s 7,500-employee workforce. Here are some numbers that tell what is not going well for the company.
Meta's virtual reality arm Reality Labs lost $3.7 billion this past quarter and a total of $9.4 billion as of the third quarter of 2022. The company's operating losses from its metaverse project stood at $19-pluss billion last year. The company reported $10.2 billion in losses from the project in 2021 and $9.4 billion
Meta’s market cap as of November 4, 2022. It was last around that level in mid-2015. The company’s stock is trading at its lowest price since 2016. The company last month was valued at $270 billion, down from over $1 trillion a year earlier. The company has highlighted deteriorating macroeconomic trends, but investors have also been spooked by its spending and threats to the company’s core social-media business.
The drop in Meta's market cap on February 3, 2022. This is by far the single biggest one-day loss for a US company in history. The stock tanked 26.4% that day after the company reported its first-ever drop in daily user numbers.
The decline in Meta CEO Mark Zuckerberg’s personal fortune since the start of 2022. Zuckerberg holds a 13% stake in Meta.
(With inputs from agencies)