November 11, 2022

Meta cuts a record number of jobs

This week Zuckerberg cuts costs at Meta as he tries to rescue his bet on the metaverse. FTX goes to the brink of bankruptcy and Disney+ finds a path to profit. These are the five big stories from the week that was. 1. Swinging axe Meta cut more than 11,000 jobs this week. At around…

By Jack Derwin

Home > Blog > News & Insights > Meta cuts a record number of jobs

This week Zuckerberg cuts costs at Meta as he tries to rescue his bet on the metaverse. FTX goes to the brink of bankruptcy and Disney+ finds a path to profit. These are the five big stories from the week that was.

1. Swinging axe

Meta cut more than 11,000 jobs this week. At around 13% of its entire workforce, it constitutes the single biggest tech layoff of 2022.  

While Meta has seriously underperformed the sector this year, its reasons for cutting are the same, mostly that it grew far too big in a slowing market.

Advertising dollars, its lifeblood, are drying up, Apple’s privacy changes and stiff competition make it even tougher.

Zuckerberg points to the need for new revenue to justify his gamble on the metaverse. But billion-dollar losses are most certainly responsible for many of these cuts.

2. Crypto crunch

FTX, the world’s second largest crypto exchange, is on the brink of bankruptcy after a run on its assets exposed its precarious financials. 

In this high drama, rival Binance has played both its largest adversary and briefly its purported rescuer. You can read all the juicy details here.

3. Sweet relief

Overnight Wall Street put on its best show in two years, surging after US inflation figures came in at their lowest level since January.

Demonstrating that rate hikes are working, the data raises the prospect that interest rates may peak sooner than expected. 

4. Road to El Dorado

Overall Disney results disappointed investors this week but its streaming service continues to grow, albeit at cost.

Disney+ added 12.1 million extra subscribers, 4 million more than expected, putting it on track to turn a profit in 2024.

5. Number nine

Media giant Nine meanwhile says it has no plans to introduce ads to Stan as it denies rumours that it is looking to sell the streaming service.

It’s been a big week for the company, tying up the broadcast rights to the Australian Open until 2029 for $425 million.

Sign up to Superhero for free and receive regular market updates, news and explainers.

Read our latest articles

Make knowledge your superpower and up your skills and know-how with our news, educational tools and resources.

csl112 csl drug trial
disney gaming superhero
meta platforms surges
tesla model y most sold car 2023
apple samsung iphone
microsoft replacing lithium with sodium for batteries
tesla byd sales
chatgpt and microsoft
Ice Cubes with P{otential IPOing companies logo
Spotlight Liontown Web blog Header
UBS Credit Suisse Website Header
SVB Superhero
Spotlight: retailers report bumper profits
Spotlight Tech
Spotlight: Tesla's earnings accelerate
Virgin Australia Spotlight
Spotlight: ChatGPT
Spotlight 23/12/2022
Superhero Spotlight SpaceX
Elon Picks a fight with Apple
Abercrombie & Fitch
Deliveroo Australia falls over
Meta job cuts
Call of duty
Alphabet earnings
Take-Two gets hacked
Apple iPhone 14
Snap cuts jobs
domino's
Elon Musk's Manchester United joke
Bull market
Airbnb is booking out
Macca's cash bonus
Elon dumps Bitcoin and lights up lithium
Flight Centre is the most shorted stock on the ASX
Amazon is racing Uber to your door
Disney just won Formula One
Kellogg's
Interest rate hikes
Apple's move into banking
Stranger Things
Beyond Meat meets Kim Kardashian
Warren Buffett
Google's new devices will challenge Apple
Ecommerce slowdown