Is Mark Zuckerberg's Job Secure?
Media and Wall Street discuss whether Zuckerberg should be blamed for Facebook's disastrous IPO
Do you remember when Mark Zuckerberg won Time Magazine’s Person of the Year? Two years feels like a lifetime when you’re unfairly blamed for the loss of $50 billion in company valuation and investor income.
Zuckerberg, Facebook’s CEO, has been taking the brunt of the blame, even more than the much more justly deserving investment houses that were responsible for the overpricing of the IPO, over Facebook’s disastrous plummeting since the company went public, having lost half of the opening day valuation of $100 billion.
Major media publications such as USA Today, NBC News, Los Angeles Times and of course, Wall Street itself, have started asking the same question that is asked of every company whose stock takes such a massive dive; should the CEO be replaced?
Here again Wall Street rears its ugly double face. They jump on the bandwagon leading up to the IPO, singing Zuckerberg’s praises as the wonderkid, a once-in-a-lifetime, can-do-no-wrong genius. Wall Street pumps the price way above any realistic value, markets the bejeezus out of the stock, cheats and lies to the common investor, and then blames the CEO for when the stock under-performs.
Should any blame be laid on Zuckerberg? Maybe. Mostly for getting into bed with the devil. But since Facebook went public have their profits dropped? Nope. Has another competitor overtaken them in the social media space? Nope. Have they stopped innovating? Nope. So stop blaming the CEO.
One thing must be made clear. All this talk is for nothing. Zuckerberg isn’t going anywhere. He had the foresight to make sure that he holds onto 57% of the voting shares. He surrounded himself with people who support him, especially those whose names are being thrown around as successors.
So let Wall Street talk. Their words are worth little, especially when the blame is clearly theirs.