Facebook collapsed globally, Mark Zuckerberg's "pain" of billions of dollars
The collapse of Facebook, Messenger and Instagram could cost parent company Meta about $100 million in lost revenue. Coin Telegraph commented that the timing of this incident is very bad for Meta
On the evening of March 5, a series of Meta's social networking platforms, including Facebook, Messenger, Instagram, WhatsApp and Thread, encountered problems globally. Accordingly, many user accounts were suddenly logged out and unable to access these platforms again.
Daily Mail's source said Meta's internal system also crashed overnight, and that may be the cause of the known user account logout problem.
According to statistics, the majority of error reports appear on applications, specifically 72% for Facebook, 64% for Instagram and 50% for Messenger. On social network X, there were more than 80,000 posts about Facebook social networks failing during the time the incident occurred.
Facebook is currently the world's largest social media platform with 3 billion users, and Instagram attracts about 1.35 billion monthly active users. The social network giant makes most of its profit from advertising on the platform, so a technical problem that crashes the system will also reduce the group's revenue.
According to Meta's Metastatus website, several business tools, including Ads Manager, Meta Business Suite and Meta Admin Center, along with four of its six developer platforms, have been discontinued.
Financial expert Dan Ives, director of investment company Wedbush Securities, estimates losses will be about $100 million after Meta's ecosystem suffered an access error globally.
In 2024, with advertising prices likely to increase compared to 2021, Meta may suffer even more losses because the majority of the company's revenue is earned from advertising. When platforms stop working, advertising display opportunities also disappear, leading to huge revenue losses.
However, experts say that the loss of 100 million USD is insignificant when compared to the total revenue of 134 billion USD in 2023.
Shares of Meta, Facebook's parent company, fell 1.6% to $490.22/share immediately after the incident. Coin Telegraph believes that the global collapse of Facebook at this time is very bad and not good for Meta's stock price because previously this stock was on an upward trend for many consecutive sessions.
This price drop caused Meta's capitalization to evaporate by $20 billion and narrow to $1,225 billion. Billionaire Mark Zuckerberg's fortune lost nearly 3 billion USD, down to about 172 billion USD
We know people are having difficulty accessing Meta's services. We are working hard to resolve the issue right now," Andy Stone, head of communications at Meta, confirmed on social network X shortly afterward. Meta is conducting an investigation into the above incident. It is currently unclear the specific cause of Facebook, Instagram and Messenger collapsing globally
Jake Moore, a technology expert at security company ESET, said Meta's problem was unlikely to be due to hacking. Experts say Facebook has also crashed in previous years. The possibility of hacking cannot be ruled out, but it is more likely due to internal network problems.
Many other experts believe that the incident is not serious. Large platforms like Facebook and Instagram have to handle huge amounts of data and traffic every hour, and even a little human carelessness in the server room can create problems affecting millions of users. The possibility of hacking is only mentioned if Meta cannot recover from the problem within a few hours
