101–110 of 223 posts
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Why? Facebook isn't a Hedge Fund. They want to beat their competitors, not market research predictions.
> They want to beat their competitors Not quite. They want to satisfy shareholders. Beating competitors is second-order because the shareholders will be happy (read: get more money) when that happens.
Facebook pays a lower effective tax rate than most HN commenters.
Is there a reason corporations even pay taxes, versus just taxing individuals once they get money distributed to them from the corporation?
Yes - because without corporation tax the revenues might get funneled out of the country and taxed elsewhere in tax avoidance schemes (both at the 'corporate' level in foreign-owned businesses, and at the individual level with the ability for the rich to setup shell corps to avoid income tax).
Guidance is atrocious. While the misses might not look bad in isolation, the overall picture isn’t looking good. The COO just quit after an extremely successful run, guidance is bad, and worst of all, the planned rebranding to Metaverse has been hijacked by crypto bros shilling ponzis on steroids.
They're best positioned to combat the ATT changes. No one can handle the engineering costs of navigating that and the data limitations as well as them. Their direct response advertising base has no where else to go, snap just proved that.
The meta verse re-brand is meant to be forward looking (although IMO not close enough for their needs). They can't grow social media forever - especially as social views of it sour.
Do you think we have already seen peak Facebook? Obviously we can't judge from one bad(?) quarter, but from Meta's desperate attempts to copy Tiktok, I think its a slow decline from here.
Lower revenue than Q2 of 2021 and higher expenses. They're on track to have significantly lower net income this year than last year. Au revoir, Facebook.
They’ve deeply embedded themselves into my life because of Whatsapp. Life and work are nearly impossible here without Whatsapp.
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From a less cynical point of view, they have basically bet the farm on "Metaverse." They can no longer buy out competitors (the FTC will block them), and they need a new monopoly to keep printing money. If they can make even a moderate success out of the metaverse project, they can get out of the hole. If they can make a massive success of the project, they will easily be the new Apple. However, I'm not sure that a r…
> If they can make a massive success of the project, they will easily be the new Apple. In what way? If Facebook wanted to replace the iPhone with some "metaverse" device they would need to be able to build a device way more advanced than their current offerings at a price point equal to or less than the iPhone. That means they would need to make up for thousands of person years of engineering, manufacturing, and ope…
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> If they can make a massive success of the project, they will easily be the new Apple. In what way? If Facebook wanted to replace the iPhone with some "metaverse" device they would need to be able to build a device way more advanced than their current offerings at a price point equal to or less than the iPhone. That means they would need to make up for thousands of person years of engineering, manufacturing, and ope…
Might want to watch this as it’s quite clear Meta knows exactly what’s required to make the Metaverse a reality. And if they achieve it then it will be a game changer as big as the internet or smart phone. https://youtu.be/2zHDkdkqd1I
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Is there a reason corporations even pay taxes, versus just taxing individuals once they get money distributed to them from the corporation?
If that happens I’ll form a corporation, rent forever and have my employer pay my corporation and move to a state without income tax.
Lower revenue than Q2 of 2021 and higher expenses. They're on track to have significantly lower net income this year than last year. Au revoir, Facebook.
Comparing to 2021 can be misleading because the Covid year was a strange anomaly for digital businesses. That kind of profits may be a long way off for most of them. Meta's operating income (i.e. profit before taxes and interest basically) for this past quarter was $8.3 billion. That's roughly the same as Exxon did in its Q1. "Au revoir" seems premature when they're still raking in that much cash.
I love how people keep saying Facebook is dying, yet TikTok still doesn't have as many active users as Facebook, WhatsApp and Instagram.
The only application that does is YouTube.