The social media giant has had quite a successful couple of years. Despite hitting a snag with the last year’s Senate hearing of its founder, Mark Zuckerberg regarding data privacy, Facebook is still the leading social media network. Stocks are soaring high and putting the company on the head of the tech giant group, including Apple and Netflix.
Still, the social media platform faced many fines, regulatory probes and overall backlash since it first came to be. The latest concerns are related to the highly anticipated release of Facebook’s own cryptocurrency, Libra. Libra is aimed at creating a more inclusive and better-connected world of finance, where security and privacy are the number one priority.
So far, the shares of Facebook went up over 40% since the beginning of 2019. This is highly encouraging, especially after the security breach scandal of last year. Back then the stocks fell miserably by 26%, prompting investors to think twice while shinning the light on privacy concerns and political manipulations present on the platform.
It is eminent that the past troubles regarding privacy will remain an issue, or at least a major concern when it comes to release and use of Libra. Still, if and when it gets launched, Libra has high aspirations of becoming the leading currency in the crypto world. If that happens, Facebook will only confirm its dominant status on the market, and in the tech world.
One of the clearest signs that a social media platform is doing well is the increase in the number of users. For Facebook, however, the user number is growing slowly but surely. What puts it on top within this feature is an even bigger growth in users for the other apps in its property – Instagram, WhatsApp, and Facebook Messenger, with a total of 2.7 billion users.
Facebook uses other apps it owns not only to attract new users but new investors as well. All these platforms have the ability to constantly bring in more money on a daily basis. Engaging in e-commerce is perhaps one of Facebook’s smartest business ventures. Instagram, for example, has ads included in the photo feed, which is a small but quite significant e-commerce tool.
Back in June, Facebook announced it will expand its video-on-demand service, Watch. Its smart business strategies of overpowering more than one front at the time are the thing that keeps Facebook stocks solid and profitable, even in times of high market volatility.