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Roblox Tanked $9 Billion In A Single Day After The Company Admitted It Was Directing Fewer Kids Toward Viral Games That ‘Emphasize Short-Term Monetization’ (kotaku.com)
submitted 6 days ago by to c/technology@lemmy.world
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[–] 13 points 6 days ago (2 children)

CEO is legally required to maximize shareholder returns. Replacement CEO incoming.

I guess it would be better to make Roblox a non profit but then how they gonna get in front of so many kids...?

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  • [–] 9 points 6 days ago* (last edited 6 days ago) (1 child)

    Maximizing shareholder value also includes maximizing the non-tangible value of the Roblox brand (something that could be harmed by short-term cash grabs), but unfortunately many investors only think one quarter at a time.

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  • [–] 2 points 6 days ago

    Not necessarily. Look at apple, they could sell everything they have, land, precious metals, stock, patents and have a bumber year beyond any market history and shareholders would get massive results. The CEO can make decisions that are not immediate.

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