Faced with the melting of Meta’s income, Zuckerberg cleaned up … by copying TikTok – Liberation

For the first time, Mark Zuckerberg’s company saw a decline in its quarterly turnover. Reorganizing Instagram, lowering, imitating TikTok… To stay on course, the company is chaining big announcements. And the contradictions.

Meta manghappa and skate. Not surprising at all, the news is above all symbolic: for the first time in its history, Meta has seen its revenue decline. This Wednesday, the company that integrates Facebook, Instagram, Messenger and WhatsApp, among others, revealed a quarterly turnover of less than 1%. It now stands at $28.8 billion. Net profit fell by 36% and was estimated at nearly $6.7 billion. Now, Mark Zuckerberg, the big boss, decided to tighten the belt: “We need to do more with less resources”he was sorry.

It’s hard to tell, in the face of his sullen pout in the sun, that almost a year ago the former Harvard geek won. In the heart of the summer of 2021, he enthusiastically predicted: in five years, his company will be in the metaverse. The concept? Make accessible, through virtual and augmented reality, a world built in pixels, where everyone can work, shop, find friends… A surprising statement, for a billionaire who until then seems very boring next to the troll Elon Musk the Tesla boss and the occult Jack Dorsey the co-founder of Twitter. And yet, the idea has won its share of ardent supporters, to the point of making the term “metavers” the tech buzzword of the year.

The irony, today, is very real: this same futuristic fashion weighs down – in part – the company’s narratives. The Reality Labs division, which oversees the project, actually lost $2.8 billion in the quarter. A result that is more dangerous because Mark Zuckerberg bet a large part of his pawns on his vision. Billions have been spent, thousands of workers have lost their jobs and new faces, like his friend Andrew Bosworth, have been inspired.

TikTokization on Facebook

However, the metaverse remains embryonic and may have to wait a little longer before seeing the light of day. Just Wednesday, the Federal Trade Commission filed an order to stop Meta from buying a virtual reality company, Inside, and thus nipping a potential competitor in the trend. a new competitor. “Meta could have chosen to try to compete with Within on the merits” rather than buy it, the police pinged the American markets. As he could have done with the Occulus VR headset company, acquired in 2014. Or with WhatsApp, acquired in the same year.

Besides the metaverse, Meta’s tumble has two other explanations. The first point of the finger Apple. According to special media The Verge, the company suffered from the implementation of the “Ask the app not to track” feature on iPhones, which prevented the network from sharing user data for advertising purposes. 10 billion dollars were lost last year. A number that could be dug up due to the hesitation of advertisers in the face of the current economic slowdown.

Second explanation: TikTok. With its “discovery algorithm”, which confronts its users with personal content that is automatically detected by the machine, the Chinese application with one billion monthly active Internet users is playing big leagues. So some of his colleagues have decided to copy his formula. Thus YouTube integrates the unloved YouTube Shorts, very short video formats (comedy, artistic, gaming, etc.) that are very inspired by TikTok. And Zuckerberg is on the same path, damaging the spirit of his box.

The 38-year-old entrepreneur has carried out a major overhaul of his networks, with many explosions from TikTokisation. Taking the principle of the “discovery algorithm”, the CEO announced that Facebook’s news feeds will make more recommended publications and not from accounts already followed. An idea that breaks the basic premise of Facebook: a site that brings together people who already know each other, by presenting them with content created by their relatives. It doesn’t matter that there is conflict for Mark Zuckerberg. The main purpose here is to increase “commitment” users as well as “quality of [leur] flow”.

Employees ‘who shouldn’t be here’

TikTokisation is also working on Instagram. On Tuesday, Adam Mosseri, the head of the network, revealed that the platform will offer a growing area of ​​videos, called “Reels”. Unacceptable for some influencers, such as reality TV stars Kim Kardashian and Kylie Jenner, prompting the manager of “change instagram to instagram”, a social network dedicated to photography. Ignoring these protests, Meta continued: according to Zuckerberg, the use of video increased the number of daily users by 3% (1.97 billion) on Facebook. For the CEO, there is no doubt: The reels can quickly become an important source of income.

Incomes that some Meta employees do not see. Because, in his redesign, Mark Zuckerberg also plans to drop his workers. With 84,000 employees worldwide, the company increased its number of employees by 32% compared to 2021. An explosion that resulted in particular from the simultaneous launch of a myriad of projects.

From now on, the foosball atmosphere in California areas is over: the hiring rate will decrease, employment will increase. Goodbye cool start-up attitude, hello daddy capitalism. A shift consisting of a change in the leader’s tone. Shows that his empire is necessary “operate with increased intensity”Mark Zuckerberg should have appealed to his managers during the month of July in a short letter consulted by New York Times with “Think about each member of their team and the value they add”. “If a direct report isn’t good or bad, they’re not what we need”cut the memo. In another meeting, he said: “I think some of you may decide this place is not for you, personal self-selection is good for me”. Before adding: “Actually, there are probably a lot of people in the business who shouldn’t be here”.

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