The thing is happening. The latest sign that the Silicon Valley giant's days of nonstop growth are over is that Facebook-turned- Meta CEO Mark Zuckerberg has announced a sweeping restructuring for the first time in the company's 20-year history.
According to sources, the cost-cutting decision will include a hiring freeze and a plan to manage out people who aren't succeeding.
"For the first 18 years of the company, we basically grew quickly every year, and then more recently our revenue has been flat to slightly down for the first time," the founder told his staff, according to a report.
It's correct that those financial troubles are flat. Apple's new privacy protections have thrown a major wrench in Facebook's data-driven business model, while TikTok, which is owned by Meta, can't compete in the social media space.
The founder of Zucko has tacked his company's future to the "North Star" of the money pit. It would take money and time to build an augmented reality scape of his dreams, but so far he has little to show for it, at least for the amount of cash he has already spent. It's not terribly surprising that he chose to tease the company's new-and-improved augmented reality goggles just before the layoffs were announced.
The company's losses are reflected in the billionaire's wealth. In the past year, the founder has lost a shocking $71 billion, but he is still very rich and moving down the ladder is a big move.
According to the report, Zuck seems to be using the restructuring to direct company efforts more narrowly towards his vision. The chief metamate is comforting his soldiers with a lot of macroeconomic blame.
The economy would have been more stable by now, according to the report. From what we're seeing, it doesn't seem like it has.
The economy is not great. A piece of the blame lies with the company's strategy and execution, rather than its leader.
Mark Zuckerberg is in big trouble.
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