Mark Zuckerberg Loses $71B After Following Metaverse Vision
According to Bloomberg’s Billionaires Index, Mark Zuckerberg, the CEO of Meta, has lost over $71 billion in 2022. It appears the billionaire’s foray into the metaverse has affected his earnings in the real world.
Mark Zuckerberg Loses Over $71 Billion In 2022
The year has been challenging for every tech titan out there. However, the amount of funds lost by Mark Zuckerberg is the greatest loss by any tech giant this year.
The CEO of Meta has seen his net worth split in half in 2022. Bloomberg’s Billionaires Index reveals that the CEO has lost over $71 billion in 2022.
Zuckerberg’s net worth currently stands at about $55.9 billion, making him the 20th richest person in the world. The last time he was at this point was in 2014.
Meanwhile, Zuckerberg’s net worth was over $106 billion two years ago. The CEO was part of an elite consortium of billionaires, with Bill Gates and Jeff Bezos owning such large fortunes.
His worth skyrocketed to about $142 billion last September. This was after the company’s s4ick reached an all-time high of $382.
In October, the CEO changed the name of his company from Facebook Inc to Meta. This was part of the company’s goal to pursue metaverse development.
From that time, the company’s revenue and, consequently, Zuckerberg’s net worth began to go downhill. Meta was having a hard time gaining a stronghold in the technology world.
The recent revenue results have been less than optimistic. It started in February after the firm revealed no increase in Facebook users.
This news led to a historical stock price crash. Also, Zuckerberg’s income was reduced by over $31 billion, making it among the worst single day drops in wealth.
Martin Says Meta’s Metaverse Investments Are Causing Stock Price To Drop
Other problems include Instagram’s wager on Reels. Reels is the company’s response to TikTok’s short video platform. Unfortunately, Reels bring in less money from advertisements.
Furthermore, the industry is suffering from decreased marketing expenditures due to concerns about an economic slowdown. According to Laura Martin, Needham & Co’s senior internet analyst, Meta’s metaverse investments are causing its stocks to decline.
Before now, Zuckerberg said he expected the Meta project to lose some money over the next 5 years. However, the losses recorded have been huge.
According to Mandeep Singh, a tech analyst at Bloomberg Intelligence, Meta would recover if it abandons its VR technology pursuit. Singh believes Meta can get around this issue by selling off some of its other operations, like Instagram or WhatsApp.
Besides, most of Zuckerberg’s net worth is in Meta stocks. The recent statement issued by the corporation reveals that he has over 350 million shares in Meta. The stock price is at about $146.18 at the time of writing.
Meanwhile, rebranding is something that Zuckerberg has attempted to do. Recently, he published a video of himself engaging in martial arts training.
Also, during Joe Rogan’s podcast, he referred to himself as a “product designer” on several occasions. It is uncertain if the billionaire will recover from his recent losses.
