Facebook is on the Verge of Billions of Losses!

Facebook is on the Verge of Billions of Losses!

The huge social media channel Facebook is having a hard time with the impact of the data sharing scandal that has emerged in recent years. On the other hand, Facebook, which did not delete the violent sharing made by the President of the United States (USA) Donald Trump recently, was subject to great reactions. To this end, dozens of companies, including large companies such as Starbucks, Pepsi, Coca-Cola and Verizon, have decided to withdraw their ads from Facebook. On Monday, Adidas, HP, and Ford firms joined the boycott community, which includes companies such as Unilever, The North Face, Coca Cola, Honda.

How the Ad Boycott Affects Facebook?

Facebook earned $ 69.7 billion in 2019 thanks to advertising revenues, corresponding to 98 percent of its revenue. With another calculation, Facebook, the giant social media platform, received 98 of every 100 dollars it earned last year from advertising revenues. Facebook, which is mostly advertised by small and medium-sized companies, has a total of 8 million advertisers. It came to the knowledge that the number of companies that started boycotting Facebook in the past few days has exceeded 200. According to reports in the US press, companies that boycotted Facebook include world giants such as Adidas, HP, and Ford companies such as Unilever, The North Face, Coca Cola, Honda. According to reports in the US press, the cost of this boycott on Facebook has reached billions of dollars. After these events, Facebook's market value decreased by $ 56 billion; Mark Zuckerberg's net wealth decreased by $ 7.2 billion and fell to $ 82.9 billion.

What Happened?

In the US state of Minnesota, the murder of a black citizen named George Floyd, on May 25, by a white police had launched major protests in the country. US President Donald Trump, on the other hand, shared the incidents even more by sharing "We will fire if looting start " on 29 May. Limiting the sharing of Trump's violent sharing, Twitter made the decision for the first time in its history because it "shared violence" by a president. Twitter was expected to do the same with Facebook on this behavior, but Facebook did not remove sharing; "The sharing of President Trump does not violate Facebook rules," Zuckerberg said. Last week on this sharing of Mark Zuckerberg, 6 human rights organizations called for a boycott of large companies; They had asked them not to advertise on Facebook during July.