Facebook officially loses $123B in value

So I looked for the FB stock price and found this gem of an article: <a href="https:&#x2F;&#x2F;www.zacks.com&#x2F;stock&#x2F;news&#x2F;312831&#x2F;should-you-buy-facebook-fb-stock-ahead-of-q2-earnings" rel="nofollow">https:&#x2F;&#x2F;www.zacks.com&#x2F;stock&#x2F;news&#x2F;312831&#x2F;should-you-buy-faceb...</a><p>&gt; Based on Facebook’s continued importance to advertisers, its growing user figures across its many platforms, its solid valuation picture, and strong earnings trends, Facebook looks like it might be a stock worth buying before it reports its Q2 financial results after market close on Wednesday, July 25.

&gt; There are barely more people checking Facebook every day compared to previous quarter. Even worse, Facebook’s user base shrank in Europe. Facebook is still growing, but it’s clear that GDPR combined with a saturated market aren’t helping the company.<p>Facebook is running some <i>desperate</i> ads to try to compensate for this. Literally: &quot;Join Facebook, it&#x27;s FREE! 2 billion people already have!&quot;

There is a less well known news coming out recently. Due to a legal case in Washington state, Facebook agrees to not to prevent customers to receive AD based on ethnicity, religion or sexual orientation.<p>This is mostly making targeting ad illegal and hurt the fundamental revenue model of FB.<p><a href="https:&#x2F;&#x2F;www.bloomberg.com&#x2F;news&#x2F;articles&#x2F;2018-07-24&#x2F;facebook-agrees-to-change-ad-platform-to-prevent-discrimination" rel="nofollow">https:&#x2F;&#x2F;www.bloomberg.com&#x2F;news&#x2F;articles&#x2F;2018-07-24&#x2F;facebook-...</a>

It doesn&#x27;t really make any sense that FB stock should be dropping that much based on slower user growth and revenue.<p>The main risks to social networks have to do with network topology. If the network starts getting hollowed out then the mathematics show that social networks can implode even faster than they can grow. But user growth isn&#x27;t a good predictor of that, growth can be flat and then just start accelerating again; this already happened with FB before around ten years ago.

I guess this means there&#x27;ll have to be some belt-tightening in the Zuckerberg household.

$506.2B to go.