Just when we thought our Monday couldn’t have gotten any worse, Mark Zuckerberg, Founder and CEO of Facebook has managed to one-up all of us. The tech billionaire has just lost more than $5 billion in value off of his company in a matter of hours. While he still has billions tied up in the company, it just goes to show just how much of his wealth is based on the rise and fall of the Facebook’s stock price.
Early this money to stock had dropped nearly 8% after UK and US politicians began to accuse the company as well as Mark himself for data breaches involving millions of users and their personal information. The data had reportedly been used for political purposes throughout the 2016 United States presidential election, resulting in the upset victory of Republican Donald Trump over Democrat Hillary Clinton.
Prior to this Monday Mark Zuckerberg’s total wealth has increased more than $2.5 billion over the year to date according to information on the Bloomberg Billionaire index. All of these games have been wiped out by the major loss in the company, with the company and subsequently his wealth ending up more than 2 billion dollars in the red.
These woes don’t seem to only be impacting the social media giant. Shares of Alphabet, the parent company of Google I take in a similar 4% loss, with with the total net worth of the company’s founders dropping around $1.5 billion dollars according to report at Forbes. The world’s richest man Jeff Bezos experienced a drop in wealth to the tune of $2 Billion dollars on Monday as Amazon shares dropped in value by about 3%.
While this may seem like bad news for Jeff there is much more good news to make up for it. 2018 has been very good for him, with more than $30 billion in increased worth so far. It is safe to say that it would require a considerable drop in Amazon’s valuation to see Jeff Bezos knocked from the top spot on the Billionaire leaderboards.
Only time will tell just how temporary these changes are, but it’s safe to say that any business operating with large amounts of data is at risk of scrutiny. Time will tell if markets will forgive and forget and go back to valuing these companies based on what they can produce for their customers and shareholders.