They make $1.4B per day. This is basically just a cheap subscription for them
this post was submitted on 17 Aug 2023
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For comparison, if you made $365,000 per year this would be the same as you paying 7 cents per day in a fine, or $25 per year.
If a fine is less than the profit it is legal and the cost of doing business.
Exactly right. Facebook will factor this in as am expected cost of doing business (if they didnβt already) and their stock will go up. This isnβt a penalty, this is just like paying a bribe. In the end, both are just lining the pockets of officials more interested in appearing to do something for the next news cycle so they can get re-elected.
From the article:
$100,000 per day for a country with ~5.4 million people is a lot. If even 20 percent used Facebook regularly, then that would still be 10 cents per user per day. It's unlikely that Meta is generating so much profit per user - every day.
This is a reasonable observation and I wonder what Meta would do once one of their services becomes unprofitable in a specific country. Anyway if you add Instagram and WhatsApp to the math, maybe they would still generate profits from the Norwegian userbase
I wonder if this is a big amount for Norway's government. After 3 years you've got 100 million dollars. Not huge but you could build a nice hospital or something with that.
per capita, iirc, Norway is richer than U.S.
they don't need to fine fecesbook to get rich
I don't know where you're getting that number but it's definitely wrong. Their most profitable year so far was 2021, and they made $39.4 billion for the entire year. Source
So assuming things haven't changed too much for them, this is about 1%. Barely noticeable.
Where are you getting that number? Their financial reports claim about 120 billion a year in revenue. Or 0.4 billion per day.
That's for about 3.5 billion users. Let's say Norwegians, being quite rich, generate ten times the daily average, or about $1 per day. I don't know how accurate it is, but this page claims about 80% of Norwegians use Facebook. With 5.5 million people, that would put their daily revenue for Norway at about 4 million. So this fine would equate to about 2.5% of their revenue. With a net profit of about 25% (it has varied from 20-30 the last few years) that's about 10% of their profits.
It's not exactly going to put them out of business, but it doesn't seem too bad, proportionally, even with the numbers as generous as possible to your case. If India did the same (just adjusting 100k for population size) it'd be 25 million a day, or ten billion a year.
For those who are dumb like I am, the fine is one hundred thousand per day and not one hundred per day (the decimal threw me off)
LOL. To put that in perspective, let imagine it's some $100,000 annual pay worker. This means Facebook just added 365 employees to their ranks, if they ignored this order completely.
They fire and hire people in the thousands, the penalty is a joke of scale.
Except this is for a single country. Is it worth that kind of expense for 5 million people? Does Facebook make $36.5 million in profit just in Norway? If not, then this is a net loss for them.