Facebook said it had deleted hundreds of offensive posts since a law banning online hate speech came into force in Germany at the start of the year that foresees fines of up to 50 million euros ($58 million) for failure to comply.

The social network received 1,704 complaints under the law, known in Germany as NetzDG, and removed 262 posts between January and June, Richard Allan, Facebook’s vice president for global policy solutions said in a blog.

“Hate speech is not allowed on Facebook,” Allan said, adding that the network had removed posts that attacked people who were vulnerable for reasons including ethnicity, nationality, religion or sexual orientation.

Complaints covered a range of alleged offenses under Germany’s criminal code, including insult, defamation, incitement to hatred and incitement to crime, the report said. Of the posts that were blocked, the largest number was for insult.

Facebook is less popular in Germany than other European countries, with only around two in five internet users logging on each month, according to researchers eMarketer.

That’s in part due to collective memories of hate-filled propaganda that date back to Germany’s 20th century history of Nazi and Communist rule that don’t always sit well with Facebook’s broad view on freedom of speech.

Chief Executive Mark Zuckerberg faced criticism in Germany after saying in a recent interview that Facebook should not delete statements denying that the Holocaust happened — a crime in Germany. He later clarified his remarks.

Facebook has a dedicated team of 65 staff handling complaints under the NetzDG, Allan said, adding that this could be adjusted in line with the number of complaints.

From January to June, Facebook removed a total of around 2.5 million posts that violated its own community standards designed to prevent abusive behavior on the platform.

“We have taken a very careful look at the German law,” Allan wrote in his blog, which was published in German. “That’s why we are convinced that the overwhelming majority of content considered hate speech in Germany, would be removed if it were examined to see whether it violates our community standards.”

A lawmaker for Chancellor Angela Merkel’s ruling Christian Democratic Union (CDU), Tankred Schipanski, said the NetzDG law — which requires social platforms to remove offensive posts within 24 hours — was doing the job for which it was intended.

($1 = 0.8579 euros)
…

From: MeNeedIt

Facebook said it had deleted hundreds of offensive posts since a law banning online hate speech came into force in Germany at the start of the year that foresees fines of up to 50 million euros ($58 million) for failure to comply.

The social network received 1,704 complaints under the law, known in Germany as NetzDG, and removed 262 posts between January and June, Richard Allan, Facebook’s vice president for global policy solutions said in a blog.

“Hate speech is not allowed on Facebook,” Allan said, adding that the network had removed posts that attacked people who were vulnerable for reasons including ethnicity, nationality, religion or sexual orientation.

Complaints covered a range of alleged offenses under Germany’s criminal code, including insult, defamation, incitement to hatred and incitement to crime, the report said. Of the posts that were blocked, the largest number was for insult.

Facebook is less popular in Germany than other European countries, with only around two in five internet users logging on each month, according to researchers eMarketer.

That’s in part due to collective memories of hate-filled propaganda that date back to Germany’s 20th century history of Nazi and Communist rule that don’t always sit well with Facebook’s broad view on freedom of speech.

Chief Executive Mark Zuckerberg faced criticism in Germany after saying in a recent interview that Facebook should not delete statements denying that the Holocaust happened — a crime in Germany. He later clarified his remarks.

Facebook has a dedicated team of 65 staff handling complaints under the NetzDG, Allan said, adding that this could be adjusted in line with the number of complaints.

From January to June, Facebook removed a total of around 2.5 million posts that violated its own community standards designed to prevent abusive behavior on the platform.

“We have taken a very careful look at the German law,” Allan wrote in his blog, which was published in German. “That’s why we are convinced that the overwhelming majority of content considered hate speech in Germany, would be removed if it were examined to see whether it violates our community standards.”

A lawmaker for Chancellor Angela Merkel’s ruling Christian Democratic Union (CDU), Tankred Schipanski, said the NetzDG law — which requires social platforms to remove offensive posts within 24 hours — was doing the job for which it was intended.

($1 = 0.8579 euros)
…

From: MeNeedIt

The Latest on the aftermath of Facebook’s release of user growth and expectations for the company ahead (all times local):

4:50 p.m.

The 19 percent loss in Facebook’s stock chopped $119 billion off its market value.

It was the company’s worst trading day since going public in 2012, and among the biggest one-day losses of market value in U.S. stock market history.

The loss came a day after Facebook revealed that its user base and revenue grew more slowly than expected in the second quarter as it grappled with privacy issues.

Those revelations stunned investors, who believed the company had weathered the recent scandal over users’ privacy and pushed the stock to an all-time high Wednesday of $217.50.

12:45 p.m.

The erosion in the value of Facebook as it is perceived on Wall Street involves some staggering numbers.

In midday trading Thursday, the company’s market value (the number of outstanding shares multiplied by the value of a single stock), fell by more than $122 billion.

That means that in one day, just the decline in Facebook’s market value is roughly the entire market value of McDonald’s or Nike, give or take a few billion. And it far exceeds to total market value of major U.S. multinational corporations such as General Electric, Eli Lilly or Caterpillar.

The company still has a total market value close to $511 billion, which exceeds the annual gross domestic product of countries like Poland, Belgium and Iran.

Facebook was downgraded by a number of industry analysts who were caught off guard by slowing growth in the wake of the Cambridge Analytica scandal.

Company shares fell 19 percent Thursday.

10:40 a.m.

Facebook may be heading for its worst day on the markets in its history a day after the company revealed that user growth, amid swirling questions about how their information is used, has slowed.

The stock plunged 19 percent in early trading Thursday, eradicating well in excess of $100 billion in market value.

The social media company’s financial results, released late Wednesday, fell short of Wall Street expectations as the company continues to grapple with privacy issues. It also warned that revenue would decelerate as it promotes new products

Facebook had 2.23 billion monthly users as of June 30, up 11 percent from a year earlier, but well short of what industry analysts had been expecting.

The results are from the first full quarter following the revelation of the Cambridge Analytica privacy scandal. The company is also contending with European privacy rules that went into effect in May.
…

From: MeNeedIt

The Japanese city of Iga is fighting off would-be ninjas after a news report suggesting the city wanted to hire the traditional assassins went viral.

The confusion began last week, when a reporter for National Public Radio in the United States said Japan was suffering from a shortage of workers because of declining birth rates.

The report quoted Sakae Okamoto, mayor of Iga, as saying the worker shortage had affected the city’s plans to build a second museum focused on the warriors.

Iga is famous for being the home of the powerful Iga ninja clan.

While the report mentioned that ninja performers could earn as much as $85,000, it did not say the city was looking to hire them. 

The story was subsequently picked up on social media and other news outlets that failed to clarify the lack of jobs. 

Iga city officials received 115 emails from would-be ninjas offering their services and asking when they could start. Other job requests were sent to the city’s ninja museum, the regional tourist board and a a local university.

The applications have come from around the world, including Italy, India, Ecuador and the U.S.

The ninja-centric city has posted a statement in several languages on its website stressing it was not hiring. But it took the opportunity to extol the virtues of its “splendid tourist attractions, including facilities about ninjas.”

Besides its first ninja museum, the central Japanese city also has several ninja costume rental shops and holds an annual ninja festival. 
…

From: MeNeedIt

The Japanese city of Iga is fighting off would-be ninjas after a news report suggesting the city wanted to hire the traditional assassins went viral.

The confusion began last week, when a reporter for National Public Radio in the United States said Japan was suffering from a shortage of workers because of declining birth rates.

The report quoted Sakae Okamoto, mayor of Iga, as saying the worker shortage had affected the city’s plans to build a second museum focused on the warriors.

Iga is famous for being the home of the powerful Iga ninja clan.

While the report mentioned that ninja performers could earn as much as $85,000, it did not say the city was looking to hire them. 

The story was subsequently picked up on social media and other news outlets that failed to clarify the lack of jobs. 

Iga city officials received 115 emails from would-be ninjas offering their services and asking when they could start. Other job requests were sent to the city’s ninja museum, the regional tourist board and a a local university.

The applications have come from around the world, including Italy, India, Ecuador and the U.S.

The ninja-centric city has posted a statement in several languages on its website stressing it was not hiring. But it took the opportunity to extol the virtues of its “splendid tourist attractions, including facilities about ninjas.”

Besides its first ninja museum, the central Japanese city also has several ninja costume rental shops and holds an annual ninja festival. 
…

From: MeNeedIt

The Japanese city of Iga is fighting off would-be ninjas after a news report suggesting the city wanted to hire the traditional assassins went viral.

The confusion began last week, when a reporter for National Public Radio in the United States said Japan was suffering from a shortage of workers because of declining birth rates.

The report quoted Sakae Okamoto, mayor of Iga, as saying the worker shortage had affected the city’s plans to build a second museum focused on the warriors.

Iga is famous for being the home of the powerful Iga ninja clan.

While the report mentioned that ninja performers could earn as much as $85,000, it did not say the city was looking to hire them. 

The story was subsequently picked up on social media and other news outlets that failed to clarify the lack of jobs. 

Iga city officials received 115 emails from would-be ninjas offering their services and asking when they could start. Other job requests were sent to the city’s ninja museum, the regional tourist board and a a local university.

The applications have come from around the world, including Italy, India, Ecuador and the U.S.

The ninja-centric city has posted a statement in several languages on its website stressing it was not hiring. But it took the opportunity to extol the virtues of its “splendid tourist attractions, including facilities about ninjas.”

Besides its first ninja museum, the central Japanese city also has several ninja costume rental shops and holds an annual ninja festival. 
…

From: MeNeedIt

The Japanese city of Iga is fighting off would-be ninjas after a news report suggesting the city wanted to hire the traditional assassins went viral.

The confusion began last week, when a reporter for National Public Radio in the United States said Japan was suffering from a shortage of workers because of declining birth rates.

The report quoted Sakae Okamoto, mayor of Iga, as saying the worker shortage had affected the city’s plans to build a second museum focused on the warriors.

Iga is famous for being the home of the powerful Iga ninja clan.

While the report mentioned that ninja performers could earn as much as $85,000, it did not say the city was looking to hire them. 

The story was subsequently picked up on social media and other news outlets that failed to clarify the lack of jobs. 

Iga city officials received 115 emails from would-be ninjas offering their services and asking when they could start. Other job requests were sent to the city’s ninja museum, the regional tourist board and a a local university.

The applications have come from around the world, including Italy, India, Ecuador and the U.S.

The ninja-centric city has posted a statement in several languages on its website stressing it was not hiring. But it took the opportunity to extol the virtues of its “splendid tourist attractions, including facilities about ninjas.”

Besides its first ninja museum, the central Japanese city also has several ninja costume rental shops and holds an annual ninja festival. 
…

From: MeNeedIt

Rock Steady Boxing NOVA gym opened in McLean, Virginia, outside Washington, D.C., last December. That was the good news for 75-year-old Neil Eisner, who was diagnosed with Parkinson’s six years ago and finds boxing an effective way to fight back against the disease.

Rock Steady Boxing (RSB) was designed especially for people with Parkinson’s, a neurodegenerative disorder that leads to tremors and balance problems. Each exercise in the program focuses on a specific skill — one is combining punches on a bag to work on strength, another is crawling across the floor. Eisner says the exercises help him perform everyday tasks like moving around and getting in and out of bed.

Some strengthening exercises target vocal cords. “One of the things that’s interesting enough is [Parkinson’s patients] tend to have a [softer] voice. When you have that lower voice, and people can’t hear you, you don’t realize. So, he asks us to bring our voice clearly and more loudly,” Eisner said.

​Becoming an RSB trainer

For personal trainer Alec Langstein, working with an older population is familiar. He understands their health issues and the need for them to stay active.

“My aunt has a gym in Westchester, New York, and she does a Rock Steady Boxing program there,” he said. “She invited me up to her gym to check out the program. She thought it would be a perfect fit for what I do. I helped out with a few classes, and it was just, I thought, an amazing program.”

The Rock Steady Boxing nonprofit was founded in 2006 by attorney Scott C. Newman, who was looking for ways to stay active after being diagnosed with Parkinson’s at age 40. Since then, more than 500 boxing programs have been introduced in the U.S. and around the world.

Langstein went to the organization’s headquarters to become an RSB-licensed trainer, and a few months later, he opened his Rock Steady Boxing NOVA gym.

“It’s a typical boxing program,” he explained. “They focus on balance, hand-eye coordination, reaction, footwork. There is some cognitive stuff because in boxing, certain numbers equal certain punches. So, when I yell certain numbers, you have to move and react at the same time. So, the brain and the body are working together. It’s also taking out the aggression some people may have out of having the disease.”

​Improving quality of life

To understand how RSB can help Parkinson’s patients, physical therapist Danielle Sequira says it’s important to know what triggers the symptoms.

“Parkinson’s mainly affects the dopamine-producing cells in the brain. That leads to a lack or a loss of dopamine, which contributes to the movement difficulties,” she said.

While boxing and other exercises don’t cure the disease or stop the dopamine decline, they can improve the patient’s quality of life. Exercises can be modified for people with Parkinson’s, including those in wheelchairs.

“The research shows that exercise helps the brain use dopamine more efficiently,” Sequira said. “My goal usually, after I work with some of my patients with Parkinson’s, is to refer them out to get involved in an exercise program out in the community.”

​The social effect

RSB seems to have helped Victoria Hebert reduce the symptoms of her Parkinson’s. She has a tremor in her left hand, and says certain situations trigger it.

“Being cold, being hot, or sitting with a crowd I’m not very comfortable with, I can’t help starting to shake. I end up having to sit on my hand just to keep it still,” she said.

But with this crowd, Hebert doesn’t feel the need to hide the disease. “These people have become very close in the four or five months we’ve been together.”

“That’s the big part of it, sharing experiences with others,” she added. “I have to say, it’s very embarrassing, but over eight years of time I’ve never met another person with Parkinson’s. Then, I came here, and it was like a whole class of 20, 25 people with it. It was kind of surprising to me, kind of surprising that I, myself, didn’t reach out to anybody before that.”
…

From: MeNeedIt

Rock Steady Boxing NOVA gym opened in McLean, Virginia, outside Washington, D.C., last December. That was the good news for 75-year-old Neil Eisner, who was diagnosed with Parkinson’s six years ago and finds boxing an effective way to fight back against the disease.

Rock Steady Boxing (RSB) was designed especially for people with Parkinson’s, a neurodegenerative disorder that leads to tremors and balance problems. Each exercise in the program focuses on a specific skill — one is combining punches on a bag to work on strength, another is crawling across the floor. Eisner says the exercises help him perform everyday tasks like moving around and getting in and out of bed.

Some strengthening exercises target vocal cords. “One of the things that’s interesting enough is [Parkinson’s patients] tend to have a [softer] voice. When you have that lower voice, and people can’t hear you, you don’t realize. So, he asks us to bring our voice clearly and more loudly,” Eisner said.

​Becoming an RSB trainer

For personal trainer Alec Langstein, working with an older population is familiar. He understands their health issues and the need for them to stay active.

“My aunt has a gym in Westchester, New York, and she does a Rock Steady Boxing program there,” he said. “She invited me up to her gym to check out the program. She thought it would be a perfect fit for what I do. I helped out with a few classes, and it was just, I thought, an amazing program.”

The Rock Steady Boxing nonprofit was founded in 2006 by attorney Scott C. Newman, who was looking for ways to stay active after being diagnosed with Parkinson’s at age 40. Since then, more than 500 boxing programs have been introduced in the U.S. and around the world.

Langstein went to the organization’s headquarters to become an RSB-licensed trainer, and a few months later, he opened his Rock Steady Boxing NOVA gym.

“It’s a typical boxing program,” he explained. “They focus on balance, hand-eye coordination, reaction, footwork. There is some cognitive stuff because in boxing, certain numbers equal certain punches. So, when I yell certain numbers, you have to move and react at the same time. So, the brain and the body are working together. It’s also taking out the aggression some people may have out of having the disease.”

​Improving quality of life

To understand how RSB can help Parkinson’s patients, physical therapist Danielle Sequira says it’s important to know what triggers the symptoms.

“Parkinson’s mainly affects the dopamine-producing cells in the brain. That leads to a lack or a loss of dopamine, which contributes to the movement difficulties,” she said.

While boxing and other exercises don’t cure the disease or stop the dopamine decline, they can improve the patient’s quality of life. Exercises can be modified for people with Parkinson’s, including those in wheelchairs.

“The research shows that exercise helps the brain use dopamine more efficiently,” Sequira said. “My goal usually, after I work with some of my patients with Parkinson’s, is to refer them out to get involved in an exercise program out in the community.”

​The social effect

RSB seems to have helped Victoria Hebert reduce the symptoms of her Parkinson’s. She has a tremor in her left hand, and says certain situations trigger it.

“Being cold, being hot, or sitting with a crowd I’m not very comfortable with, I can’t help starting to shake. I end up having to sit on my hand just to keep it still,” she said.

But with this crowd, Hebert doesn’t feel the need to hide the disease. “These people have become very close in the four or five months we’ve been together.”

“That’s the big part of it, sharing experiences with others,” she added. “I have to say, it’s very embarrassing, but over eight years of time I’ve never met another person with Parkinson’s. Then, I came here, and it was like a whole class of 20, 25 people with it. It was kind of surprising to me, kind of surprising that I, myself, didn’t reach out to anybody before that.”
…

From: MeNeedIt

Rock Steady Boxing NOVA gym opened in McLean, Virginia, outside Washington, D.C., last December. That was the good news for 75-year-old Neil Eisner, who was diagnosed with Parkinson’s six years ago and finds boxing an effective way to fight back against the disease.

Rock Steady Boxing (RSB) was designed especially for people with Parkinson’s, a neurodegenerative disorder that leads to tremors and balance problems. Each exercise in the program focuses on a specific skill — one is combining punches on a bag to work on strength, another is crawling across the floor. Eisner says the exercises help him perform everyday tasks like moving around and getting in and out of bed.

Some strengthening exercises target vocal cords. “One of the things that’s interesting enough is [Parkinson’s patients] tend to have a [softer] voice. When you have that lower voice, and people can’t hear you, you don’t realize. So, he asks us to bring our voice clearly and more loudly,” Eisner said.

​Becoming an RSB trainer

For personal trainer Alec Langstein, working with an older population is familiar. He understands their health issues and the need for them to stay active.

“My aunt has a gym in Westchester, New York, and she does a Rock Steady Boxing program there,” he said. “She invited me up to her gym to check out the program. She thought it would be a perfect fit for what I do. I helped out with a few classes, and it was just, I thought, an amazing program.”

The Rock Steady Boxing nonprofit was founded in 2006 by attorney Scott C. Newman, who was looking for ways to stay active after being diagnosed with Parkinson’s at age 40. Since then, more than 500 boxing programs have been introduced in the U.S. and around the world.

Langstein went to the organization’s headquarters to become an RSB-licensed trainer, and a few months later, he opened his Rock Steady Boxing NOVA gym.

“It’s a typical boxing program,” he explained. “They focus on balance, hand-eye coordination, reaction, footwork. There is some cognitive stuff because in boxing, certain numbers equal certain punches. So, when I yell certain numbers, you have to move and react at the same time. So, the brain and the body are working together. It’s also taking out the aggression some people may have out of having the disease.”

​Improving quality of life

To understand how RSB can help Parkinson’s patients, physical therapist Danielle Sequira says it’s important to know what triggers the symptoms.

“Parkinson’s mainly affects the dopamine-producing cells in the brain. That leads to a lack or a loss of dopamine, which contributes to the movement difficulties,” she said.

While boxing and other exercises don’t cure the disease or stop the dopamine decline, they can improve the patient’s quality of life. Exercises can be modified for people with Parkinson’s, including those in wheelchairs.

“The research shows that exercise helps the brain use dopamine more efficiently,” Sequira said. “My goal usually, after I work with some of my patients with Parkinson’s, is to refer them out to get involved in an exercise program out in the community.”

​The social effect

RSB seems to have helped Victoria Hebert reduce the symptoms of her Parkinson’s. She has a tremor in her left hand, and says certain situations trigger it.

“Being cold, being hot, or sitting with a crowd I’m not very comfortable with, I can’t help starting to shake. I end up having to sit on my hand just to keep it still,” she said.

But with this crowd, Hebert doesn’t feel the need to hide the disease. “These people have become very close in the four or five months we’ve been together.”

“That’s the big part of it, sharing experiences with others,” she added. “I have to say, it’s very embarrassing, but over eight years of time I’ve never met another person with Parkinson’s. Then, I came here, and it was like a whole class of 20, 25 people with it. It was kind of surprising to me, kind of surprising that I, myself, didn’t reach out to anybody before that.”
…

From: MeNeedIt

Rock Steady Boxing NOVA gym opened in McLean, Virginia, outside Washington, D.C., last December. That was the good news for 75-year-old Neil Eisner, who was diagnosed with Parkinson’s six years ago and finds boxing an effective way to fight back against the disease.

Rock Steady Boxing (RSB) was designed especially for people with Parkinson’s, a neurodegenerative disorder that leads to tremors and balance problems. Each exercise in the program focuses on a specific skill — one is combining punches on a bag to work on strength, another is crawling across the floor. Eisner says the exercises help him perform everyday tasks like moving around and getting in and out of bed.

Some strengthening exercises target vocal cords. “One of the things that’s interesting enough is [Parkinson’s patients] tend to have a [softer] voice. When you have that lower voice, and people can’t hear you, you don’t realize. So, he asks us to bring our voice clearly and more loudly,” Eisner said.

​Becoming an RSB trainer

For personal trainer Alec Langstein, working with an older population is familiar. He understands their health issues and the need for them to stay active.

“My aunt has a gym in Westchester, New York, and she does a Rock Steady Boxing program there,” he said. “She invited me up to her gym to check out the program. She thought it would be a perfect fit for what I do. I helped out with a few classes, and it was just, I thought, an amazing program.”

The Rock Steady Boxing nonprofit was founded in 2006 by attorney Scott C. Newman, who was looking for ways to stay active after being diagnosed with Parkinson’s at age 40. Since then, more than 500 boxing programs have been introduced in the U.S. and around the world.

Langstein went to the organization’s headquarters to become an RSB-licensed trainer, and a few months later, he opened his Rock Steady Boxing NOVA gym.

“It’s a typical boxing program,” he explained. “They focus on balance, hand-eye coordination, reaction, footwork. There is some cognitive stuff because in boxing, certain numbers equal certain punches. So, when I yell certain numbers, you have to move and react at the same time. So, the brain and the body are working together. It’s also taking out the aggression some people may have out of having the disease.”

​Improving quality of life

To understand how RSB can help Parkinson’s patients, physical therapist Danielle Sequira says it’s important to know what triggers the symptoms.

“Parkinson’s mainly affects the dopamine-producing cells in the brain. That leads to a lack or a loss of dopamine, which contributes to the movement difficulties,” she said.

While boxing and other exercises don’t cure the disease or stop the dopamine decline, they can improve the patient’s quality of life. Exercises can be modified for people with Parkinson’s, including those in wheelchairs.

“The research shows that exercise helps the brain use dopamine more efficiently,” Sequira said. “My goal usually, after I work with some of my patients with Parkinson’s, is to refer them out to get involved in an exercise program out in the community.”

​The social effect

RSB seems to have helped Victoria Hebert reduce the symptoms of her Parkinson’s. She has a tremor in her left hand, and says certain situations trigger it.

“Being cold, being hot, or sitting with a crowd I’m not very comfortable with, I can’t help starting to shake. I end up having to sit on my hand just to keep it still,” she said.

But with this crowd, Hebert doesn’t feel the need to hide the disease. “These people have become very close in the four or five months we’ve been together.”

“That’s the big part of it, sharing experiences with others,” she added. “I have to say, it’s very embarrassing, but over eight years of time I’ve never met another person with Parkinson’s. Then, I came here, and it was like a whole class of 20, 25 people with it. It was kind of surprising to me, kind of surprising that I, myself, didn’t reach out to anybody before that.”
…

From: MeNeedIt

Social media giant Facebook, which has weathered storms about privacy and data protection, is now looking at cooler growth following a years-long breakneck pace.

Shares in Facebook plummeted 19 percent to close at $176.26 Thursday, wiping out $100 billion. It was believed to be the worst ever single-day evaporation of market value for any company.

The plunge came one day after the firm missed revenue forecasts for the second quarter and warned that growth would be far weaker than previously estimated.

Chief Financial Officer David Wehner warned Wednesday in an earnings call with analysts that revenue growth had already “decelerated” in the second quarter and would drop “by high single-digit percentages” in coming quarters.

At one point during the call, Facebook shares were trading down as much as 24 percent, an unprecedented drop for a large firm.

On the call, Jefferies & Co. analyst Brent Thill said that “many investors are having a hard time reconciling that deceleration. … It just seems like the magnitude is beyond anything we’ve seen.”

Facebook said the slowdown would come in part from a new approach to privacy and security, but also appeared to acknowledge the limits of growth in advertising, which accounts for virtually all its revenue.

Brian Sheehan, a Syracuse University professor of communication and advertising, said the weak forecast “made investors nervous about more basic long-term issues” with the huge social network, notably its diminished appeal to younger users.

“With or without privacy issues, investors are scared that Facebook’s interactions, particularly with those under 25, are falling,” Sheehan said.

For the second quarter, profit was up 31 percent at $5.1 billion; revenues rose 42 percent to $13.2 billion, only slightly below most forecasts.

User base still growing

Facebook reported its user base was still growing but not as fast as some expected. Monthly active users rose 11 percent to 2.23 billion — below most estimates of 2.25 billion.

Richard Windsor, a technology analyst who writes the Radio Free Mobile blog, said the new outlook should not be surprising.

“This is a direct result of scale as it becomes increasingly difficult to grow at such high rates when a company hits this size,” Windsor wrote.

Windsor added that Facebook is forced to hire more people to handle tasks such as filtering inappropriate content after discovering the limits of artificial intelligence.

“Weaknesses in AI are forcing [Facebook] to keep hiring humans to do the jobs that the machines are incapable of,” he said.

Brian Wieser at Pivotal Research Group said the company appears to have hit a “wall” on growth in advertising.

In a research note, he said Facebook’s outlook “suggests that while the company is still growing at a fast clip, the days of 30 percent-plus growth are numbered.”

Until Wednesday, Facebook shares had been at record highs as investors seemed to shrug off fears about data protection and probes into the hijacking of private information by the political consultancy Cambridge Analytica.

Chief Executive Mark Zuckerberg said Facebook has invested heavily in “safety, security and privacy” after being rocked by concerns of manipulation of the platform to spread misinformation, warning of an “impact” on profitability.

Some analysts however said it was too soon to write off Facebook or its growth prospects, and that the company may have simply been warning of the worst-case scenario.

“The company has a track record of resetting revenue growth and expense expectations only to turn around and exceed those expectations the following quarter,” said Gene Munster of Loup Ventures. “We suspect Facebook is sticking with its historical playbook and will, in fact, beat these lower numbers.”

A positive view

Richard Greenfield of BTIG Research said he remained upbeat on Facebook despite the abrupt forecast shift.

“Facebook is actively choosing to make less money, deprioritizing near-term monetization to drive engagement to even higher levels,” Greenfield said in a note to clients.

Greenfield said he could “sense the fear/panic in investors’ voices” after the Facebook analyst call, but that he had maintained his outlook.

“Mobile is eating the world and Facebook is a core holding to benefit from that shift,” he said.

RBC Capital Markets analyst Mark Mahaney said the drop creates a rare buying opportunity for Facebook shares.

“Facebook stills owns two of the largest media assets in the world [Facebook and Instagram] and the two largest messaging assets in the world [Messenger and WhatsApp],” Mahaney said in a note to clients, adding that he sees “no material change in marketer views of the attractiveness” of Facebook platforms. 
…

From: MeNeedIt