Connect with us

OTHER

Snap Q2 Report Sparks $80 Billion Loss in Ad Industry Market Cap Amid Tiktok Competition, Inflation Concerns

Published

on

snap-q2-report-sparks-$80-billion-loss-in-ad-industry-market-cap-amid-tiktok-competition,-inflation-concerns

Facebook-owner Meta Platforms, Google-owner Alphabet and other companies that sell online ads lost about $80 billion (roughly Rs. 6,39,324 crore) in combined stock market value on Thursday after Snap posted poor quarterly results and warned of an uncertain outlook.

Slammed by a weakening economy, increased competition from TikTok and recent privacy changes on iPhones, the Snapchat owner missed second-quarter revenue targets and warned that “forward-looking visibility remains incredibly challenging.”

Its shares collapsed 26 percent, bringing Snap’s loss in 2022 to over 70 percent.

With Wall Street already worried about a potential recession, Snap’s report also sparked a selloff in rival internet ad sellers. Meta dropped 5 percent in extended trade, while Alphabet fell 3 percent and Pinterest tumbled 7 percent.

Twitter’s shares fell less, losing just under 2 percent.

Advertisement
free widgets for website

The drop in Alphabet’s shares cut its market capitalisation by over $40 billion (roughly Rs. 3,19,602 crore), and Meta’s loss reduced its market capitalisation by about $25 billion (roughly Rs. 1,99,751 crore). The drop in Snap’s shares evaporated $7 billion (roughly Rs. 55,930 crore) of its value.

Snap’s poor report also hit other growth stocks, with Spotify Technology, Shopify and Roblox down around 3 percent each after hours.

With Twitter suing Elon Musk to force the billionaire to make good on his April promise to buy Twitter for $44 billion (roughly Rs. 3,37,465 crore), many investors view Twitter’s stock as a wager on the outcome of that upcoming legal battle, and less as a reflection of the company’s current fundamentals.

Twitter is set to report its quarterly results early on Friday, but the micro-blogging platform has canceled its traditional call with analysts, pointing to Musk’s “pending acquisition”.

See also  WhatsApp Users on Android May Soon Be Able to Hide Their Online Status: Report

In its report, Snap said its daily active users rose 18 percent year-over-year to 347 million (roughly Rs. 2,772 crore), beating analysts’ expectations.

Advertisement
free widgets for website

But that user growth comes as the customers of social media companies face inflation at 40-year highs and brace for a potential economic downturn, an environment where brands spend less on advertising and apply greater scrutiny to how they spend their advertising dollars.

Alphabet posts its second-quarter results on July 26, Meta reports on results on July 27, and Pinterest on August 1.

© Thomson Reuters 2022


OTHER

Facebook, Instagram Integration Improved With Deeper Account Centre Integration by Meta

Published

on

By

facebook,-instagram-integration-improved-with-deeper-account-centre-integration-by-meta

Facebook and Instagram are set to offer better integration as parent company Meta announced it is testing a deeper integration across both platforms. The firm has revealed two updates that include a new user interface for the Accounts Center feature across mobile and Web platforms, and a redesigned login and onboarding experience on its mobile apps. The tests include two new features that are intended to make it easier for users to switch between and create new accounts and profiles on Facebook and Instagram. The company is also testing allowing users to receive notifications for both Facebook and Instagram profiles in the same place.

In an announcement on its blog, Meta revealed that the new interface is currently in testing and allows existing users who have added their Instagram and Facebook credentials to the same Account Center, to switch between the two apps without navigating to their phone’s home screen, multitasking menu, or app drawer. Meanwhile, a redesigned mobile login and onboarding experience being tested allows iOS and Android users to sign in or create multiple accounts from a single Instagram or Facebook credential.

Meta also confirmed that existing security features will continue to apply to the updates that include blocking unrecognized devices from using interoperating login credentials for Instagram and Facebook accounts that have the two-factor authentication feature turned on for either of the accounts.

Users will also be notified of any account activity across Facebook and Instagram accounts on a single Accounts Center section including the creation of a newly linked Facebook or Instagram account, according to the company.

See also  Twitter Unmention Feature to Remove Yourself From Tags Rolling Out Now

Meta says it is now testing the new user interface on iOS, Android, and the Web while the login and onboarding workflow redesign is being tested on iOS and Android. The company adds that both features are being tested across the globe. The new features are “currently limited to Facebook and Instagram,” Meta said.

Advertisement
free widgets for website

The updates have arrived post the introduction of Meta accounts in August of this year and a recently reported downturn in both revenue and user growth for the American social-media giant.


Continue Reading

OTHER

Instagram Story Time Limit Increased to 60 Seconds: Report

Published

on

By

instagram-story-time-limit-increased-to-60-seconds:-report

Instagram is reportedly increasing the time limit for Instagram Stories to 60 seconds, from the earlier limit of 15 seconds. Previously, Instagram Stories that were longer than 15 seconds would be broken up into separate segments. The social media company is said to have begun testing the change with select users towards the end of last year. Earlier this month, Instagram rolled out parental supervision tools and Family Center in India. Meta had announced the parental supervision tools and the Family Center tool back in March. The company was recently slapped with EUR 405 million (roughly Rs. 3,200 crore) fine for violating strict European Union data privacy rules.

According to a recent report by TechCrunch, Instagram confirmed that it is increasing the time limit of Instagram stories to 60 seconds from the earlier limit of 15 seconds. Previously, if a user had posted a video longer than 15 seconds, it used to get broken up into smaller segments. This made the process of uploading videos to Instagram Stories more challenging, including tagging and mentioning other users.

As mentioned earlier, Instagram is said to have begun testing the new change with select users towards the end of last year.

Earlier this month, Instagram also rolled out parental supervision tools and Family Center in India. The Family Center is a place for parents and guardians to access supervision tools and resources from leading experts. These tools will let them see the screen time spent by their kids on Instagram and impose time limits. The new parental controls are part of Meta’s attempts to protect children who actively use its social media apps.

See also  Twitter Said to Prepare for Most Ambitious Quarter as Company Aims to Add 13 Million Daily Active Users

Instagram was recently slapped with a EUR 405 million (roughly Rs. 3,200 crore) fine for violating strict European Union data privacy rules. The Meta-owned social media platform was found mishandling the personal information of teenagers. Ireland’s Data Protection Commission’s investigation revealed that Instagram displayed the personal information of users between the age of 13 and 17 years. Instagram’s parent Meta said it disagrees with the way the fine was calculated and has expressed its desire to appeal the fine imposed by the regulator.

Advertisement
free widgets for website

Continue Reading

OTHER

Elon Musk, Twitter CEO Parag Agrawal Said to Postpone Depositions Ahead of Upcoming Trial

Published

on

By

elon-musk,-twitter-ceo-parag-agrawal-said-to-postpone-depositions-ahead-of-upcoming-trial

Tesla CEO Elon Musk won a reprieve from questioning by Twitter lawyers Monday, according to several press reports. The billionaire had been scheduled to give a deposition in his high-stakes court fight with Twitter over whether he has to follow through with his agreement to buy the social platform for $44 billion (roughly Rs. 3,37,465 crore).

Instead, Musk’s questioning was postponed to a future date. Twitter CEO Parag Agrawal, who was also scheduled to face Musk lawyers on Monday, likewise postponed his deposition, according to a person who was briefed on the matter.

The Musk postponement was reported by Bloomberg, Reuters and the Wall Street Journal, all of which attributed the information to anonymous sources.

News of the postponements fueled a brief rally in Twitter shares, which jumped 5.4 percent to $43.03 (roughly Rs. 3,500), apparently on hopes of a settlement in the case. That enthusiasm waned later in the day. Twitter shares closed Monday at $41.58 (roughly Rs. 3,300), eight cents higher than they opened.

Court watchers said that such postponements are not unusual ahead of major pretrial hearings. A hearing on several significant pretrial motions is scheduled for Tuesday.

Advertisement
free widgets for website

Both men were expected to answer questions posed by opposing lawyers ahead of an October trial that will determine who is at fault for the seeming collapse of Musk’s Twitter bid, not to mention who owes whom large sums of money as a result. The trial is set to begin October 17 in Delaware Chancery Court, where it’s scheduled to last just five days.

Musk, the world’s richest man, agreed in April to buy Twitter and take it private, offering $54.20 (roughly Rs. 4,180) a share and vowing to loosen the company’s policing of content and to root out fake accounts. In July, he attempted to back out of the deal, leveling a number of charges at Twitter as justification for his action.

See also  Koo Partners With Telangana Government, to Open Development Centre in Hyderabad

Twitter subsequently sued Musk to force him to complete the acquisition.


Continue Reading

Trending