Fb shares decline after web site failure and whistleblower interview
Facebook founder and CEO Mark Zuckerberg speaks during the 56th Munich Security Conference in Munich, southern Germany, on February 15, 2020.
Christof Stache | AFP | Getty Images
Facebook shares fell nearly 5% on Monday after suffering its worst service outage in about 13 years and the day after “60 Minutes” aired an interview with a whistleblower accusing the company of betraying democracy .
The market was broadly lower on Monday, with the tech-heavy Nasdaq Composite down over 2%. The decline was particularly steep in social media stocks, with Twitter, Snap and Pinterest each falling more than 5%.
Just before noon ET, Facebook’s main app suffered an outage, as did its Instagram and WhatsApp services. They stayed offline at the close of the market.
“We are aware that some people have problems accessing our apps and products,” the company said in a tweet. “We are working to get things back to normal as soon as possible and we apologize for the inconvenience.”
The outage is the worst for Facebook since 2008, when a bug locked the company’s services offline for about a day and affected about 80 million users. The company now has 3 billion users.
It’s been a rough week for Facebook and it got worse on Sunday night.
In an interview with “60 Minutes”, Frances Haugen turned out to be the whistleblower who provided the Wall Street Journal with important internal company documents. The Journal has used the information in a number of recent reports entitled “The Facebook Files”.
Haugen is a former product manager in Facebook’s civil disinformation division who left the company in May and made copies of numerous internal files before leaving the company. Haugen accused Facebook of prioritizing its “own profits over public safety” – endangering people’s lives.
Facebook stock lost 4.9% to close at $ 326.23. The stock is up 19% this year.
SEE: Evidence that Facebook has replenished user numbers