Facebook’s privacy crisis has turned into a investor crisis
Facebook Inc.’s privacy turmoil has turned into a shareholder crisis.
The social media marketing giant has lost more than US$60 billion in market value within the last two days, following revelations that non-public data of millions of people was obtained by a data analytics firm. That’s more than the market capitalization of Tesla Inc. at around US$52 billion or 3 x that of Snapchat owner Snap Corporation. at about US$19 billion.
Facebook shares tumbled 6.8 per cent on Thursday, the most in almost 4 years, and the selloff resumed on Tuesday utilizing news that the U.Azines. Federal Trade Commission is reportedly investigating the handling of individual data, and a report that Main Security Officer Alex Stamos plans to leave. Gives fell 4.7 per cent to US$164.51 at Only two:23 p.m. inside New York.
The two-day rout is the worst considering that July 2012, the year regarding Facebook’s initial public offering at US$38 any share.