Mark Zuckerberg has lost over $7.2 billion after major firms pulled advertising from Facebook Inc.’s network and the current net worth of Zuckerberg is $79.7B.
Shares of Facebook fell 8.3%, the most in three months, after Unilever, one of the world’s largest advertisers, joined other brands in boycotting ads on the social media network.
This has affected the market value of Facebook and has eliminated $56 billion from its market value and drove Zuckerberg’s net worth down to $82.3 billion according to Bloomberg. This has bought down mark Zuckerberg to the 4th richest person overtaken by the chief executive of Louis Vuitton Bernard Arnault who is now the third richest person in the world.
Major brands from Verizon to Hershey's have stopped social media ads on Facebook after critics expressed that Facebook has failed to sufficiently monitor hate speech and disinformation on the platform.
Top Brands Boycotting Facebook Ads over Hate Speech
Unilever, $42.4 million in advertising
Uniliver One of the biggest advertisers in the world said it would stop running ads on Facebook, Instagram, or Twitter in the United States for at least the rest of 2020.
Coca-Cola, $22.1 million
Coca-cola announced that it would stop all paid ads on all social media platforms globally for at least 30 days. A Coca-Cola spokeswoman said that "The company was not joining the official Facebook boycott".
Verizon, $22.9 million
The chief media officer of the telecommunications company said that it was “ it is pausing our advertising until Facebook can create an acceptable solution that makes us comfortable and is consistent with what we’ve done with YouTube and other partners.” Verizon has stopped both paid and unpaid ads on Facebook.
Honda America, $6 million in advertising
The automaker decided that it will withhold ads from Facebook and Instagram for the month of July to stand with people united against hate and racism.
Levi Strauss & Co., $2.8 million
the chief marketing officer of Levi Strauss Jen Sey has criticized Facebook for its failure to stop the spread of misinformation and hate speech on its platform. Sey also wrote that Levi Strauss would suspend advertising at least through the end of July.
After this increasing criticism, Facebook revised its policies announcing that the company would label all voting-related posts with a link encouraging users to look at its new voter information hub. Facebook also expanded its definition of prohibited hate speech, adding a clause saying no adverts will be allowed if they label another demographic as dangerous.