According to CNN, Facebook’s business is flying at an all-time high, but this good time does not seem to last long.
The company just reported nearly $29.1 billion in revenue for the three months ended June 30, up 56 percent from the same period last year. The biggest contributor to this achievement is online advertising. Corporate profits also doubled to $10.4 billion, much higher than the $8.7 billion expected by experts.
However, the vision for the second half of 2021 does not seem to be very positive, according to Facebook CFO David Wehner.
Revenue growth slowed due to “platform and policy changes,” referring to the recent new regulation applied to Apple’s iOS operating system. These changes – made in April are likely to have a major impact on Facebook’s business in the third quarter.
Specifically, Apple announced a number of improvements for the iOS 15 operating system upgrade. Accordingly, the most notable thing is that for the first time users can use Facetime, a form of online video calling over the Internet between devices. previous iOS system, with products using Android and Windows operating systems.
In addition, users can also use a new application called SharePlay, thereby allowing them to share music, screenshots or watch livestream while waiting for Facetime calls. In addition, the iMessage application, for messaging by Internet between previous iOS devices, has also been improved to make it easier for users to share links, photos, music or contacts.
These improvements of Apple have hit Facebook’s field hard when Android users who can’t use Facetime used to use Facebook’s chat application as the main.
Shares of Facebook fell nearly 4%, or about $40 billion, just hours after the announcement.
Facebook also faces tougher scrutiny from the government. The company and several other tech giants are the target of a series of antitrust bills proposed by the lower house last month. And the company also recently angered the White House after President Joe Biden said misinformation on the social networking platform “kills people”.
A small group of protesters yesterday lined up right in front of the Facebook office in Washington. They wore bags with the words “killing disinformation”.
On Tuesday, Facebook announced a partnership with Digital Health Lab at Meedan – a global nonprofit to help track and check misleading health information.
Yet despite those concerns, Facebook’s reach and ambitions are growing. Facebook had more than 2.9 billion active users this quarter, up 7% from last year.
During the business results meeting, Mark Zuckerberg also highlighted the company’s success in key areas such as content creation and e-commerce. In addition, the CEO said the company is also exploring new areas.
In the future, the company will not simply build interconnected social networks as well as develop the hardware to support them. Instead, Zuckerberg aspires to create a set of multi-dimensional and seamlessly connected experiences similar to the Metaverse virtual world in science fiction.
Zuckerberg says his intention is to build a more inclusive version of Facebook that expands its presence across social media, work and play. The company’s community, content creator, commerce and virtual reality product-focused divisions will be leveraged in the near-term to realize this vision.
The Facebook boss said: “What I think is most interesting is how all of these areas come together into one big idea. The overall goal is to bring the Metaverse to life.”
According to Zuckerberg, Metaverse will bring great opportunities to content creators, independent artists, individuals who want to work remotely, as well as people living in places with limited learning and entertainment conditions.
“Metaverse is the future of the Internet, a vision that embraces many companies or even an entire industry. You can think of it as the successor of mobile Internet. Think of Metaverse as the embodiment of the Internet. viewing content, the user becomes a part of it,” Zuckerberg told The Verge.
However, Mark also asserts that it will be a long time before Facebook can profit from this new business.