Facebook is expected to report a loss of users in the European Union, possibly as many as 1 million, following the implementation of updated E.U. privacy laws.
The Telegraph reports that Facebook is expected to report a drop in the number of European users on the platform when it releases its financial results at the end of October. The drop in users can likely be attributed to the recently implemented E.U. GDPR laws which relate to user privacy.
The newly implemented laws required Facebook users to agree to have their personal data collected or stop using the site entirely, and it would appear that some users chose to leave the platform. Increasing skepticism around the platform following the Cambridge Analytica data leak also likely played a factor in the drop in user figures.
Morgan Stanley has estimated that user numbers for North America and Europe could drop by as much as one million as a result. The bank stated that they believe as many as 3 million regular EU users could leave the platform overall. Facebook’s chief financial officer David Wehner said in an earnings call in May that the company expected the number of daily active users and monthly active users on the platform to be “flat to slightly down… as a result of the GDPR roll-out.”
Given Facebook’s recent user data scandals and possible reports of users leaving the platform at speed, many are beginning to wonder if Facebook’s market has become saturated — or if their platform has become distrusting of the online service.