Mark Zuckerberg once made a bold move and decided that the metaverse would be the main focus of his company, Meta. So far, ten investors have already lost $211 billion amid his decision.
The Ten Investors Lost More than the Entire Net Worth of Elon Musk
For reference, the net worth of Elon Musk, the richest man on earth, is only $201.3 billion as of press time, as seen on Forbes. This meant that the top ten investors at Meta collectively lost as much money as the richest man on earth owned.
According to the story by Investors, Mark Zuckerberg's plan to pivot Meta Platforms into the metaverse was described as "costly." The result was investors suffering massive losses.
BlackRock and Vanguard Hold the Largest Slices in Meta, Even More than Mark Zuckerberg
The article reports how ten meta investors outside of Mark Zuckerberg have already lost massive amounts to Zuckerberg's plans for the metaverse. The investors include ETF giants like BlackRock and Vanguard, known to hold the largest slices in Meta, formerly Facebook.
As a group, the investors reportedly own a third of the company, which even outranks the position of Mark Zuckerberg at 13%. The article notes that the Meta investors have the most to lose from the massive decision a year ago, where the lucrative social media decided to focus on the metaverse.
Company's Ad Revenue Fell 4% Year-Over-Year as They Struggle with Apple's Ad-Tracking Update
The investors have had to watch their investment lose over $211 billion in market value due to their position in the company. The investors lost almost thrice as much as Mark Zuckerberg, who already lost $85 billion.
The S&P Global Market Intelligence reports that the company's revenue fell 4% year-over-year. This was due to the company struggling to keep up with the ad-tracking update of Apple. It was also noted that Meta is pivoting from social media to the future metaverse, which does not fit well with investors.
Read Also: Mark Zuckerberg News: Meta is Down 73%, and Amid Mass Layoffs, Jet Uses Over $17K in Fuel
Meta is Planning to Start Its Large-Scale Layoffs with Thousands of Employees at Risk
Meta investors now suffer from the company's massive decision to shift its business. The decision was made roughly a year ago for the company to transition, even changing its name from Facebook to Meta.
An article by CNBC noted that Meta could start its large-scale layoffs. Thousands of employees are expected to lose their jobs as the company lost 73% and is now considered the worst performer in the S&P 500 in 2022.
Aside from the ten investors that lost over $211 billion in Meta, other investors that held on since Meta changed to Meta have also lost massive amounts. For those that held on since the start of the year, their losses would also be at around 73%, leaving them with less than 30% of the value of their initial investment.
Related Article: Twitter Asks Some Laid-Off Employees to Come Back After Getting Fired, Says Report
This article is owned by Tech Times
Written by Urian B.
