What occurred 

Shares of Fb mother or father Meta Platforms (NASDAQ:FB) fell 5.1% on Monday amid a conflict with European regulators.  

So what

The European Union’s knowledge watchdogs wish to higher defend its residents’ private data. To take action, they could require stricter controls on how the info is transferred to the U.S.

That may very well be an issue for Meta, which depends on that knowledge to energy its digital promoting operations — a lot in order that the social media large threatened to close down its massively well-liked Fb and Instagram websites in Europe if the difficulty is not resolved.

A person is looking at declining stock charts.

Meta Platforms’ inventory worth fell sharply on Monday. Picture supply: Getty Photographs.

EU regulators, for his or her half, appear resolved to push ahead new laws that will strengthen knowledge protections, regardless of Meta’s threats. European politician Axel Voss, who helped to draft the proposed guidelines, took to Twitter to ship Meta a stern message.

“Meta can not simply blackmail the EU into giving up its knowledge safety requirements,” Voss mentioned. “Leaving the EU can be their loss.” 

Now what

After the market shut, Meta introduced that Peter Thiel wouldn’t stand for re-election from its board of administrators. The billionaire investor has lengthy served as a key advisor to founder and CEO Mark Zuckerberg.

“Peter is actually an unique thinker who you possibly can convey your hardest issues and get distinctive recommendations,” Zuckerberg mentioned in a press launch. “He has served on our board for nearly 20 years, and we have at all times recognized that sooner or later he would commit his time to different pursuits.”

Thiel reportedly plans to spend extra time on his political endeavors. His departure comes at a time when Fb is fighting intensifying competitors from the likes of TikTok, slowing person progress, and rising bills associated to its metaverse initiatives.

This text represents the opinion of the author, who might disagree with the “official” advice place of a Motley Idiot premium advisory service. We’re motley! Questioning an investing thesis — even one in all our personal — helps us all suppose critically about investing and make selections that assist us turn out to be smarter, happier, and richer.


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