Shares of Meta Platforms-the parent company of Facebook, Instagram, and WhatsApp-slid by 2.4% to $432.62 on Monday. This occurred amidst potential job cut announcements and possible scrutiny from European regulators over their mechanisms to combat misinformation.
The European Commission is reportedly considering a probe into how Meta handles disinformation, particularly from Russia and other nations, before the elections later this year, according to the Financial Times. The outcome of this investigation could lead to significant penalties for Meta under Europe’s Digital Services Act.
While Meta did not immediately comment on these reports, the European Commission refrained from providing a statement. In a separate development, Meta’s Oversight Board, an autonomous entity that monitors content on its platforms, suggested potential layoffs to some of its members, as reported by the Washington Post. The publication highlighted that Chair Stephen Neal proposed these “targeted cuts” to further enhance the board's operations by "focusing on the most influential aspects of our work."
Despite Monday's decline, Meta's shares have seen an approximately 22% increase since the start of 2024.