CEO Mark Zuckerberg announced in a letter to employees on Wednesday that Facebook parent company Meta is laying off 11,000 employees, or about 13% of its workforce, as it grapples with declining revenue and broader tech industry problems.
Just one week after Twitter’s widespread layoffs under its new owner, billionaire Elon Musk, there are now job cuts. There Have Been Numberous Job Cuts at other Tech Companies That Hired Rapidly During the Pandemic.
Additionally, Zuckerberg claimed that he had decided to hire aggressively because he anticipated rapid growth even after the pandemic was over.
In a prepared statement, Zuckerberg stated, “Unfortunately, This Did Not Play Out The Way I Expected.” “Not only have online commerce returned to prior trends, but the macroeconomic downturn, increased competition, and ads signal loss have caused our renvenue to be a lot Lower than i’d Expecto. I erred in getting this, and I accept responsibility for that.
“More people stayed at home and used their phones and computers during the pandemic lockdown, which gave Meta and other social media companies a financial boost. However, as the lockdowns ended and people began to venture outside once more, revenue growth started to slow.
An Economic Slown and a Grim Outlook for Online Advertising – by Far Meta’s Biggest Revenue Source – have contributed to Meta’s Woes.
Goal reported its first-ever quarterly revenue decline this summer, which was followed by an even bigger decline in the fall.
While Sub of the Pain is tied to more general economic and technological forces, Sub of the Pain is company-specific.
As Musk assumed control last week, Twitter let go about half of its 7,500 employees as part of a chaotic overhaul. I have tweeted that there was no choice but to cut the jobs “When the company is the over $ 4m/day,” Though Did not provides details about the Losses.
By investing over $10 billion annually in the “metaverse” as it shifts its focus away from social media, you are aiming to attract global investors. According to Zuckerberg, smartphones will eventually be superseded by The Metaverse, an immersive digital universe.
Goal and ITS Advertisers are bracing for a potential recession.
It’s also difficult for social media sites like Facebook, Instagram, and Snap to track users without their consent and target advertisements to them because of Apple’s privacy tools.
Young people are flocking to Tiktok over Instagram, which Meta also owns, posing a growing threat of competition.
“We’ve Cut Costs Across Our Business, Including Scaling Budgets, Reducting Perks, and Shrinking Our Real Estate Footprint,” Zuckerberg Said.
“We are restructuring our teams to become more effective. I’ve also had to make the difficult decision to let people go because Se Measures Alone Won’t Bring Our Expenses In Line With Our Revenue Growth.
On Wednesday, Zuckerberg informed the staff that they would receive an email letting them know if they were among the fired. Due to the sensitive nature of that information, he said, access to the majority of company systems will be restricted for individuals who leave their positions.
Zuckerberg stated, “We’re Keeping Email Addresses Active Throughout The Day So Everyone Can Say Farewell.”
According to Zuckerberg, former employees will receive 16 weeks of base pay plus two additional weeks for each year they worked for the company. Health Insurance for Those Employees and Their Families Will Continue for Six Months.
Shares of Meta Platforms Inc. increased 4% before Wednesday’s market open.
Facebook Parent Meta Reduces Workforce by 13% and 11,000 Jobs
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