Many speculations have been made since Facebook’s mysterious meeting was announced in July and debates seem to increase now that the press conference is getting closer and closer. Analysts at Reuters have discussed the main potential headlines of the event in an attempt to determine Mark Zuckerberg’s next business strategy.
Going public hasn’t been Zuckerberg’s best move, given that shares have suffered a significant diminishment since then. The young CEO is, nevertheless, willing to make up for his mistake by organizing one of the most mysterious press conferences in the history of the company. The event was first announced in July, triggering the media’s curiosity, but now, the D-day has finally arrived and Facebook is making the final preparations for the launching of its new tactics.
Based on the most recent reports, the social network is most likely preparing the launching of a new product, the possibilities being somewhat limitless. Rumor has it that Facebook could reveal its first and exclusive smartphone, a subject that was often allured to during previous press declarations.
Jefferies & Co analyst, Brian Pitz, does not rush himself into the wrong conclusions. He told Reuters’ reporters that there are no exact clues in relation to the subject that will be discussed during the meeting. Even so, he regards Zuckerberg’s decision to launch a new smartphone highly inconsiderate, especially since Facebook’s shares have been affected by the initial public opening in May.
Yet, the numbers speak for themselves as the company’s stock has registered a remarkable growth on Monday in anticipation of the Tuesday’s event. The share price amounted to $32 at the end of the day, the highest level to be reached by Facebook since July. Although it is a short-run success, the growth determined investors to regain their trust in the company’s stability. In fact, analysts believe many more investors will turn their attention towards the social network in the following period because the company has greatly improved the ad load for their mobile app.
If we were to judge on Mark Zuckerberg’s own declarations, there are but two main aspects that could be discussed on Tuesday. The CEO declared on repeated occasions that mobile is Facebook’s weakest point, but then denied all the rumors related to the release of a new product in the already competitive market of the smartphones. On the other hand, the Harvard graduate has stated on numerous occasions that Facebook is in the position to answer all Internet users’ questions, which is why reporters think a new search engine developed by the social network could soon compete against the well-established Google.