The speed at which most tech companies have grown during the pandemic has turned into a curse
Facebook founder and Meta CEO Mark Zuckerberg has confirmed that his company will begin mass layoffs on Wednesday.
A once booming company tries to recover from the financial crisis at the expense of its employees. This story is as old as the American dream, but in the case of Facebook, recently renamed Meta to express its global vision, it is particularly striking.
Just a few years ago, it was seen as an ever-evolving company, investing in innovative startups and influencing elections. Apparently, an over-optimism about its prospects led to excessive growth that the company could not handle.
The speed at which most tech companies have grown during the pandemic has turned into a curse for giants like Amazon, Apple, Twitter and now Meta which has more than 87,000 employees across the world, including Israel.
So what happened to Meta’s flagship platform – Facebook? Obviously, it’s just not popular anymore. Recent reports show that Facebook is losing young users and, therefore, investors. Last month alone, they wiped $80 billion off the company’s value after its third-quarter results halved.
Add to that overstaffing and there is no getting around the job cuts. Thus, the promised “metaverse” failed not only its users, but also the people who devoted themselves to its construction.