Wednesday, November 01, 2017

Facebook has a big Russia problem, but its stock price and business are going to be just fine - Recode

A busy day ahead for Facebook

"Facebook’s revelations around Russia have been surprising. The company is expected to tell Congress today, in a separate hearing, that content from Russia-backed accounts may have reached as many as 126 million U.S. users over a two-year period. That’s significantly more widespread than Facebook initially claimed, and it’s a bad look for a company that is grappling with the role it played in helping Donald Trump become president.

But while that looks bad, none of it seems to be impacting Facebook’s business. Facebook’s Q3 revenue is expected to be up more than 40 percent over last year, and the stock is up almost 45 percent since Election Day. Facebook’s ad machine seems completely unaffected by the fact it may have been unknowingly assisting Russia.

Wednesday provides an opportunity for Facebook to explain why — and how — that won’t change."
Facebook has a big Russia problem, but its stock price and business are going to be just fine - Recode
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