Mark Zuckerberg’s net worth was reduced by nearly $5 billion as Meta shares declined on Thursday, dropping him among the ranks of the world’s wealthiest after Reuters reported Meta projected a chunk of revenue would come from running advertisements for scams.
Key Facts
Shares of Meta dropped 2.3% to around $620.75 as of Thursday morning, adding to a roughly 17.5% slide for the stock over the last week, which includes a single-day drop of more than 11% after Meta posted third-quarter earnings.
Zuckerberg, who was ranked the world’s third-richest person early last week behind Oracle’s Larry Ellison ($298.8 billion) and Tesla’s Elon Musk ($496.5 billion), respectively, now ranks behind No. 3 Jeff Bezos ($257 billion), No. 4 Larry Page ($235 billion) and No. 5 Sergey Brin ($217.9 billion).
Zuckerberg, who holds roughly 13% equity in Meta, had his net worth reduced by $4.6 billion (2.1%) as Meta’s shares dropped.
Why Are Meta Shares Down Today?
Reuters reported Thursday, citing internal company documents, that Meta projected 10% of overall revenue—estimated at $16 billion—would come from running advertisements for scams and banned goods. Meta spokesperson Andy Stone told Reuters the documents cited by the outlet “present a selective view that distorts Meta’s approach to fraud and scams,” noting the company’s internal estimates were lower and that the 10% estimate included “many” legitimate ads.”
Stone declined to give an updated figure to Reuters (Meta did not immediately respond to a request for comment to Forbes). Other documents indicated Meta was under investigation by the Securities and Exchange Commission for running ads for financial scams, Reuters reported. Regulators in the U.K. reported in 2023 that Meta’s products were involved in 54% of all payment-related scam losses that year, more than double all other social platforms combined.
Source: Forbes Magazine
