Facebook fallout shatters myth of big tech's everlasting upward trajectory

Facebook shares sink 8% as Q2 revenue and user growth misses analyst estimates

Facebook stock dives nearly 20% on warning of slow revenue growth

"The bundling of consent for Facebook to use consumer data with access to the platform appears to be an aggressive interpretation of GDPR, and one that might be more subject to eventual regulatory action", Wieser said.

But the Silicon Valley company's streak ended Wednesday when it said that the accumulation of issues was starting to hurt its multibillion-dollar business and that the costs are set to continue playing out for months. Facebook's stock price now stands at $176.26, having dropped by a massive 18.9% from the $217.50 value that it stood at before the company's earnings call. "Instagram has over 1 billion users, and all Facebook apps (Facebook, WhatsApp, Messenger, and Instagram) have 2.5 billion unique monthly users". Wehner warned that Facebook expected its revenue growth to slow from the 42% pace it posted in the second quarter and its operating margins to fall from 44% in the period.

Other big investors of Nasdaq-listed Facebook also took a hit as disappointing second-quarter results obliterated US$119 billion of market value, the most ever in a day for a United States company. "In the USA and Canada, Facebook's daily active users remained flat, sequentially, at 185 million, while the number actually fell in Europe, falling to 279 million - down from 282 million".

Many had come to consider Facebook nearly immune to image problems, especially after the most recent scandal involving the British company Cambridge Analytica. "It just seems like the magnitude is beyond anything we've seen, especially across a number of the tech (companies) we cover". And it seemed Facebook would shrug off the recent rash of scandals, too - Russian election interference, the mishandling of as many as 87 million people's personal information by Cambridge Analytica and the unchecked spread of fabricated news.

Facebook suffered a blow in China on Wednesday when regulators there withdrew their approval of a company innovation hub to support local startups, the New York Times reported on Wednesday, citing a person familiar with the matter.

Emery backs Ozil to embrace pressing game on 'home' turf
Goalkeeper Petr Cech, meanwhile, also spoke out in support of his team-mate and said that Ozil would make a fine captain for the club.

As an example of its new strategy, Wehner said Facebook will put more development muscle behind the company's Stories feature. "The company earned $1.74 per share, ahead of the $1.72 per share analysts were expecting".

This week is delivering a powerful one-two punch to Facebook CEO Mark Zuckerberg.

No company has ever dropped that much in history. "GDPR is an added head wind, albeit containable", he said. And executives warned that the company would invest heavily in privacy and security, and that revenue growth would most likely slow in coming quarters.

"Looking beyond 2018, we anticipate that total expense growth will exceed revenue growth in 2019", he said.

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