Zoom Video Communication’s good week ends on sour note after Facebook crashes party | #corporatesecurity |

In another winning week, shares in Zoom Video Communications Inc. ended on a sour note after Facebook Inc. disclosed plans for a competing video chat product.

The news sent Zoom shares tumbling, eventually closing with a decline of 6.1% on Friday. Still, the stock managed to gain more than 5% for the week, fueled by a surge in users who have embraced the video-conferencing software for work and socializing while confined to their homes. Zoom’s shares have jumped more than 130% this year, vaulting the company into the ranks of some of the most valuable U.S. companies. At $44 billion, Zoom’s market capitalization is now bigger than nearly three-quarters of the companies in the S&P 500 Index.

Investors have flocked to Zoom with much of the world home-bound to combat the spread of the novel coronavirus. On Wednesday, Zoom reported a 50% jump in users in the past three weeks. Along with Zoom’s success has come headache, with the San Jose, California-based company facing backlash over privacy and security concerns that prompted an apology from Chief Executive Officer Eric Yuan and moves to make the platform more secure.

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