Meta's 11,000 job cuts may be only the beginning

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Posted:
in General Discussion edited November 2022
Mark Zuckerberg says that laying off 13% of Meta's workforce is a "sad moment" -- and analysts predict more cuts are coming as ad revenues continue to crumble.




Meta CEO Zuckerberg has written to staff to tell them broadly about the layoffs, and other cost savings the company is implementing. "I view layoffs as a last resort, so we decided to rein in other sources of cost before letting teammates go," he wrote.

"This is a sad moment, and there's no way around that," he continues. "To those who are leaving, I want to thank you again for everything you've put into this place."

"To those who are staying, I know this is a difficult time for you too," wrote Zuckerberg. "Not only are we saying goodbye to people we've worked closely with, but many of you also feel uncertainty about the future."

"I want you to know that we're making these decisions to make sure our future is strong," he said. "I believe we are deeply underestimated as a company today. Billions of people use our services to connect, and our communities keep growing."

The future of Meta

Zuckerberg also doubled down on his belief that the metaverse is what the company should be focusing on "[We're] leading in developing the technology to define the future of social connection and the next computing platform," he write. "We do historically important work. I'm confident that if we work efficiently, we'll come out of this downturn stronger and more resilient than ever."

Meta has already implemented a hiring freeze, and at the time specifically blamed Apple's privacy features as a reason for Facebook's reduced revenue growth.

Apple's App Tracking Transparency has reportedly cost Facebook $10 billion in lost revenue in 2022. As Facebook's revenue has fallen, the privacy features have allowed Apple's ad business to rise.

As Apple's shares went up 7% following its earnings call, Meta's dropped 24.5% after its latest financial reports.

Meanwhile, CNBC analyst Jim Cramer predicts that more layoffs are likely to follow.

Read on AppleInsider
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Comments

  • Reply 1 of 24
    Of course it's far easier to slash "low-level" jobs than company executives EVER give up any of their obscene levels of pay in order to keep employees on the job who actually DO the work.

    Disposable workers.
    Serfdom.


    DAalsethrob53fred1flashfan207muthuk_vanalingamCluntBaby92danoxwilliamlondonStrangeDaysAlex1N
     17Likes 0Dislikes 0Informatives
  • Reply 2 of 24
    williamhwilliamh Posts: 1,048member
    13% complete.  87% to go.
    DAalsethirelandwilliamlondonrezwitsStrangeDaysAlex1NFileMakerFellertbornotbaconstangbadmonk
     11Likes 0Dislikes 1Informative
  • Reply 3 of 24
    Oh well, here’s hoping the rest of Meta is let go too. 
    rob53fred1dasjettawilliamlondonStrangeDaysAlex1NFileMakerFellerbadmonkpulseimageswatto_cobra
     11Likes 0Dislikes 0Informatives
  • Reply 4 of 24
    rob53rob53 Posts: 3,330member
    Now if we can just get rid of all the wasteful paper ads sent through the USPS, our real mail might be delivered on time and millions of trees could be saved. Do any of you actually read these ads, usually from grocery stores for me, or do you immediately dump them in your recycling bin? Electronic and internet ads are the same thing. 
    williamlondonAlex1NlolliverFileMakerFellerbaconstangwatto_cobrajony0
     7Likes 0Dislikes 0Informatives
  • Reply 5 of 24
    rob53 said:
    Now if we can just get rid of all the wasteful paper ads sent through the USPS, our real mail might be delivered on time and millions of trees could be saved. Do any of you actually read these ads, usually from grocery stores for me, or do you immediately dump them in your recycling bin? Electronic and internet ads are the same thing. 
    Just walk away, I beg you!

    https://youtu.be/tyEuHED5mLw
    williamlondonwatto_cobra
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  • Reply 6 of 24
    11,000 people got Zucked
    williamlondonAlex1Nwatto_cobra
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  • Reply 7 of 24
    lkrupplkrupp Posts: 10,557member
    Maybe people are finally waking up to the dangers of social media. CBS Sixty Minutes aired a segment about the differences between the TikTok app in China and the West. In China children under a certain age are shown videos of science, culture, history, art, etc. Adults are given more freedom but have limits on politics, social issues, etc. In the West, of course, it’s no holds barred. A survey was conducted of young people who were asked what they wanted to be, In China the number one response was astronaut. In the U.S. the number one response was social media influencer. The expert in the segment said the viewer could imagine what the future holds for the next two generations.

    Facebook, I hope, is just the tip of the iceberg for social media. Hopefully Twitter, TikTok, Instagram and all the rest are soon to follow.
    muthuk_vanalingamCluntBaby92tokyojimuravnorodomwilliamlondonAlex1NFileMakerFellerbaconstangJP234JP234
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  • Reply 8 of 24
    fred1fred1 Posts: 1,147member
    Just walk away, I beg you!
    Love the video. Can I do that too?
    Alex1Nwatto_cobra
     2Likes 0Dislikes 0Informatives
  • Reply 9 of 24
    rob53 said:
    Now if we can just get rid of all the wasteful paper ads sent through the USPS, our real mail might be delivered on time and millions of trees could be saved. Do any of you actually read these ads, usually from grocery stores for me, or do you immediately dump them in your recycling bin? Electronic and internet ads are the same thing. 
    We moved to a different state, been here less than a year. Most of the mail we get is junk, some days that’s all we get. Like you, as I walk into my house I stop at the recycling bin and a bunch of it goes directly there. It’s especially handy on trash pickup day when the mailbox is just feet from the recycling bin. 

    At least online I can block many ads. Too bad AdBlock USPS Edition. 

    I don’t use Facebook, have no love for the company and wouldn’t miss it (and social media in general), but that sucks for 11,000 people who are out of a job now. It seems it will be a tough job market for a while. This news is on top of the Twitter layoffs and Apple reducing hiring. 
    edited November 2022
    williamlondonAlex1Nwatto_cobra
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  • Reply 10 of 24
    rob53 said:
    Now if we can just get rid of all the wasteful paper ads sent through the USPS, our real mail might be delivered on time and millions of trees could be saved. Do any of you actually read these ads, usually from grocery stores for me, or do you immediately dump them in your recycling bin? Electronic and internet ads are the same thing. 
    We moved to a different state, been here less than a year. Most of the mail we get is junk, some days that’s all we get. Like you, as I walk into my house I stop at the recycling bin and a bunch of it goes directly there. It’s especially handy on trash pickup day when the mailbox is just feet from the recycling bin. 

    At least online I can block many ads. Too bad AdBlock USPS Edition. 

    I don’t use Facebook, have no love for the company and wouldn’t miss it (and social media in general), but that sucks for 11,000 people who are out of a job now. It seems it will be a tough job market for a while. This news is on top of the Twitter layoffs and Apple reducing hiring. 


    Just sayin...


    baconstangwatto_cobra
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  • Reply 11 of 24
    JP234 said:
    Since this is an Apple Insider forum, an appropriate example of historic trends seems appropriate.

    On January 26th, 1996, Sun Microsystems was in talks to buy up Apple, then worth $3.89 billion. Sun's market cap was over $10.6 billion.
    Today, Apple's market cap is $2.18 trillion. Sun was sold to Oracle Corporation in 2009 for $5.6 billion, and no longer exists.

    It remains to be seen how social media providers' competition for revenue shakes out, but the previous example speaks to the unpredicatbility of long term trends in customers' and clients' loyalties to tech providers. And with both customers and advertising clients abandoning existing social media platforms in large numbers, it's possible (even likely) the arc of their dominance will echo AOL's. No telling if a new social media platform will emerge to take their place, but it's also possible that global consumers have had enough of the toxic atmosphere generated by the lack of accountability or consequence. When I insult you in person, I risk violent retaliation, and thus am more likely to be civil. The anonymity and lack of physical proximity encourage the worst human instincts, as proven on ALL social media platforms. I've had enough. This is now the only forum in which I engage, and have been saddened by the increasing incivility I've been seeing here.
    Increasing incivility in this forum? I see that you have joined this forum on Feb-03-2022, just the beginning of this year. It used to be lot worse in the previous years. Forum admins have done a great job in moderation and it has become lot better compared to even 2 years ago. Just my 2 cents.
    tenthousandthingsbala1234sbdudewilliamlondonlolliverAlex1NFileMakerFellerJP234watto_cobra
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  • Reply 12 of 24
    rob53 said:
    Now if we can just get rid of all the wasteful paper ads sent through the USPS, our real mail might be delivered on time and millions of trees could be saved. Do any of you actually read these ads, usually from grocery stores for me, or do you immediately dump them in your recycling bin? Electronic and internet ads are the same thing. 

    Junk mail is a huge source of revenue for USPS. Think about it. Those envelopes and cards are small and companies send untold millions of them. If they killed it off, you'd have to pay a lot more for postage and especially shipping packages, which take up a lot more space and weight for not a lot more postage.
    tdknoxdewmewatto_cobra
     0Likes 0Dislikes 3Informatives
  • Reply 13 of 24
    chadbagchadbag Posts: 2,029member
    I use FB.  Mainly to maintain connections to family, friends. Coworkers past and present, etc.  I am also in a bunch of special interest groups.   I don’t see incivility or any of that because I ignore it.   I just scroll by anything  political.  it’s my choice.  But the information I get in the special interest groups is good information for the topics I am interested in. 

    Unfortunately Meta got greedy and instead of showing me posts by friends or from groups I am in, the majority of my “feed” is now “suggested for you” or “sponsored”.  I still get a few posts from friends or groups but the majority is crap.  They’re killing their own platform  by pushing their advertisers at the expense of the information people came there for.  

    It wasn’t bad when a few ads showed up in the side bar. Now the majority of stuff is paid for of some sort, often in the guise of a post.  I’ve taken to not clicking on any post that says sponsored or suggested for you.  Most of which are fluff and bring you to some sort of site that has long drawn out “articles” where 75% of the screen is taken up by ads.  

     If I do see an ad on FB that looks interesting I go find the site separately and go directly there.  Don’t want to encourage FB advertising.  

    I also highly doubt that Apple’s anti tracking stuff has cost them $10 billion in revenue.  
    muthuk_vanalingamAlex1NFileMakerFellerwatto_cobra
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  • Reply 14 of 24
    danoxdanox Posts: 3,509member
    Of course it's far easier to slash "low-level" jobs than company executives EVER give up any of their obscene levels of pay in order to keep employees on the job who actually DO the work.

    Disposable workers.
    Serfdom.


    A sinking ship…..
    williamlondonAlex1Nbaconstangwatto_cobra
     4Likes 0Dislikes 0Informatives
  • Reply 15 of 24
    danoxdanox Posts: 3,509member
    rob53 said:
    Now if we can just get rid of all the wasteful paper ads sent through the USPS, our real mail might be delivered on time and millions of trees could be saved. Do any of you actually read these ads, usually from grocery stores for me, or do you immediately dump them in your recycling bin? Electronic and internet ads are the same thing. 

    Junk mail is a huge source of revenue for USPS. Think about it. Those envelopes and cards are small and companies send untold millions of them. If they killed it off, you'd have to pay a lot more for postage and especially shipping packages, which take up a lot more space and weight for not a lot more postage.
    Physical junk mail is easy to trash, digital is more insidious.
    Alex1N
     1Like 0Dislikes 0Informatives
  • Reply 16 of 24
    longfang said:
    Oh well, here’s hoping the rest of Meta is let go too. 
    The only facebook service I use currently is Whatsapp and that's from before FB bought it. I personally find both FB and Instagram too much of a distraction that I don't have time for. I think Zuck's current obsession with metaverse is a sort of 'escapism' for want of a better word. I really am not interested in living in a virtual world.  All that to say I have no sympathy for Zuck or his company.  But it is still Its sad to see so many people being let go. I personally know people who moved to Facebook with a promise of sizable hike. I hope they are not affected....
    lolliverAlex1Nmuthuk_vanalingamwatto_cobra
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  • Reply 17 of 24
    sbdudesbdude Posts: 297member
    Of course it's far easier to slash "low-level" jobs than company executives EVER give up any of their obscene levels of pay in order to keep employees on the job who actually DO the work.

    Disposable workers.
    Serfdom.



    You must not have seen the myriad videos where in "low-level" workers at Meta, Twitter and the like show up for a couple hours, meditate for several more, indulge in free, gourmet food in the cafeteria, and then complain about their commutes to Livermore, Tracy and parts beyond.

    Absolutely disposable when you don't do any work, and plenty of metrics to determine that.
    williamlondontbornotbaconstangwatto_cobra
     3Likes 0Dislikes 1Informative
  • Reply 18 of 24
    Worth noting that Apple only provided a no-tracking option to their users. It’s the user’s decision whether or not to use it, and Meta should be blaming them, rather than Apple, if that has actually caused them financial harm. But there’s no political/economic benefit to them to frame it correctly…
    StrangeDayslolliverAlex1NFileMakerFellertbornotdewmebaconstangwatto_cobra
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  • Reply 19 of 24
    chadbagchadbag Posts: 2,029member
    Maybe their recruiters on LinkedIn will stop contacting me on a regular basis. 
    Alex1Nwatto_cobra
     2Likes 0Dislikes 0Informatives
  • Reply 20 of 24
    dewmedewme Posts: 5,860member
    No matter what I feel about Zuckerberg, I do feel bad for the people who are negatively affected by this layoff. I have no doubt that most of these people thought they were making a positive contribution to the company and their careers. The market success of Facebook only reinforced their choice of employer. 

    You can’t fault the affected people for Facebook’s missteps and failures, regardless of whether Zuckerberg accepts full blame or not. Zuckerberg is set for life financially regardless of what happens next while these people have to regroup and find a way to get their career plans back on the rails. 

    That said, I’ve never worked for a company that didn’t have layoffs at one point or another. Seeing this pattern repeat over and over again has taught me that unless your daddy is the boss there is no such thing as job security beyond your ability to get another job. Staying on the learning curve goes a long way towards making that happen, especially if you’re invested in a career in technology, science, or engineering. 



    muthuk_vanalingamwatto_cobrabala1234
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