This is reported by Ukrinform with reference to the Bloomberg agency.

The platform’s CEO, Mark Zuckerberg, announced plans to reorganize some teams and cut staff for the first time in its founding history, citing the end of a period of rapid growth for the social media giant. This will be the first budget cut since Facebook was founded in 2004. According to him, Meta will be smaller by 2023”.

Zuckerberg personally announced the upcoming layoffs at a staff meeting.

Meta shares, which were already on the decline, fell 3.7 percent in after-hours trading after the announcement, according to Bloomberg. This means that Meta shares have lost 60 percent of their value since the start of the year.

This is due to the decline in advertising revenues explained by the increased competition in the market. Certain restrictions, particularly on the use of the platform on iPhone phones, are subject to Apple Inc. Some users are moving in favor of the TikTok platform from active communication on Instagram.

Currently, Meta employs more than 83,000 people, of whom about 6,000 were hired in the second quarter of this year.

According to the economic indicators at the beginning of the year, the company’s projected spending volume at the end of the year may be $3 million less than the planned $95 billion.

Meta isn’t the only company feeling market pressure, reportedly. Earlier, the Twitter platform announced the termination of hiring new employees.