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Opinion
Parmy Olson

Facebook’s Age of Austerity Couldn’t Come at a Worse Time

It’s probably wise to restructure Meta, but it’ll be hard for Zuckerberg to manage that on top of several other fires.

Bad timing. 

Bad timing. 

Photographer: Drew Angerer/Getty Images North America

You can’t control when a recession hits. But although tech platforms like Alphabet Inc. and Snap Inc. are slimming down to cope with the global economic rout, Meta Platforms Inc.’s own restructuring couldn’t come at a worse time for the firm.

Meta CEO Mark Zuckerberg  told staff on Thursday to expect job cuts and a smaller company overall in 2023. He is currently grappling with the blow to advertising revenue wrought by Apple Inc.’s privacy restrictions, which could cost the company an estimated £14 billion ($15.4 billion) in ad sales this year. The company is also grappling to build a TikTok competitor, while pivoting to virtual reality in what could be the biggest strategic misfire in Facebook’s history.