Experts say the pivot into the Metaverse has cost the tech magnate dearly

The fortune of Facebook founder Mark Zuckerberg has dropped by $71 billion so far this year, Bloomberg reported on Monday. It noted that the decline was the biggest among the world’s wealthiest individuals tracked by the agency’s Billionaires Index. The drop is also greater than the GDP of 120 countries.

Zuckerberg’s current net worth of $55.9 billion makes him 20th among the richest people around the globe, his lowest spot since 2014. Less than two years ago, the tech tycoon was worth $106 billion, and was ranked third after Jeff Bezos and Bill Gates.

The 38-year-old’s wealth reached a peak of $142 billion in September 2021, but shortly after he changed the company’s name from Facebook to Meta, it took a predominantly downward trajectory.

In February, Facebook revealed no growth in monthly users, causing a record decline in its stock price and washing $31 billion out of Zuckerberg’s fortune. Additionally, Instagram’s bet on Reels, launched as a potential rival to TikTok’s short-form video platform, is bringing in less advertising revenue than expected.

Meta’s stock is also being dragged down by the company’s investment in the Metaverse, according to Laura Martin, senior internet analyst at Needham, as cited by the agency.

Almost all of Zuckerberg’s wealth is tied up in Meta stock. The CEO holds over 350 million shares, according to the company’s latest proxy statement. The company stock price was down 1.3% at $146.09 as of the end of trading on Tuesday.

For more stories on economy & finance visit RT’s business section

(RT.com)