Facebook, Twitter learn important lessons about growing up in very special DNRUM

Well, let’s calm down here – it’s not that special. You still Do Not Read Until Monday.

 

Fake News Fight Strikes Profits for Facebook, Twitter

As quarterly results roll in across the tech landscape, we’re generally treated to the same winners and losers. Amazon and Google routinely kill it, Twitter’s usually a toss-up and Faceboo—wait, Facebook tanked?

Indeed. Mark Zuckerberg’s mighty social-tech machine faltered for what seems like the first time in forever, with many attributing its failure to continued controversies across the past several quarters.

Facebook missed revenue goals, and monthly and daily active users declined significantly in major markets. The effect was staggering: A $124 billion decline in value – or about 25% – for the largest stock market tumble ever. Like, forever ever.

After over a year, I feel like I’m allowed to recycle jokes.

Facebook wasn’t alone in its woes either, as Twitter took a hit as well, but in its case, this was viewed more as effects from its efforts to clean up the platform. Twitter actually turned its best profit yet – $100 million – but saw a million-user decline. Twitter’s value declined 17% after the announcement. However, CEO Jack Dorsey said the company’s playing the long game, assured that quality users over quantity will help healthy and profitable platform growth.

While it’s unlikely this will be Waterloo for either company, it is a clear indication that social responsibility will hamper unbridled profits, but also that neither firm is flinching in the face of that prospect.

 

Odds + The End

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