Thu 2nd of August 2012, filed under Social Media
Bad news comes in threes
Facebook has suffered another three management departures since its IPO in May, causing investors to become increasingly concerned about the future of the social network.
Yesterday, Facebook's director of platform partnerships Ethan Beard announced his impending departure from the company. Shortly after, platform marketing director Katie Mitic said she would be leaving the social network. To complete the trio, mobile platform marketing manager Jonathan Matus declared that he would also be departing soon.
On his Facebook Timeline, Ethan Beard said: "I've had the pleasure of helping build an ecosystem of incredible developers from innovative startups and established companies." With regards to his future, Beard stated that he would like to start a "new venture", while Mitic and Matus also suggested that they will start entrepreneurial projects.
The three resignations come at a bad time for the social network. Following the Facebook IPO, which saw shares fall by 45 per cent, the management departures have caused further worry amongst investors. The concern was apparent at the close of yesterday's trading session as Facebook shares plummeted to an all time low of $20.88 (£13.43).
At a time when revenue growth is slowing, Facebook needs to add products and services to increase interest in the social network. However, the recent loss of key employees alongside the upcoming departure of chief technology officer Bret Taylor has caused investors to fear that a loss of talent could mean that the company loses its innovative edge and becomes stagnant.
Mark Zuckerberg has chosen to promote Justin Osofsky to director of platform partnerships and operations following Beard's departure. Daniel Nolan, managing director at theEword said: "Zuckerberg's decision to hire internally should help to calm investors' growing worries. Promoting Osofsky helps to keep the team tight as the veteran already has a clear understanding of the ethos and goals of the company."
Posted by Lauren Knowles