Zoom meeting platform is again in the new controversy. Because, Zoom Video Communications Inc. has clarified that its virtual meeting app has actually 300 million ‘participants’ a day, not 300 million ‘active users’ a day.
Zoom says it had mistakenly published a blog post in which the company mentioned ‘more than 300 million active users’ a day, in reality it was ‘300 million participants’ a day.
The tech company accepted it and very soon the company’s shares fell about 7% in the stock market.
A daily active user can be defined as someone who uses video conferencing service at least once a day. A meeting participant can not be defined as an active user, as participant could be counted multiple times as a meeting participant in a single day.
The company spokesperson said , “CEO Eric Yuan reported 300 million participants a day in our April 22 webinar. Which was mistakenly interpreted by our employee as 300 million active users a day and posted it in a blog post the next day.”
“When we realized this error, we corrected the wording to ‘300 million participants’ in our blog post“, Zoom spokesperson states.
Loss after the clarification
The company’s shares nearly fell about 7% to $136.86 in New York trading after reports came out. Shares of Zoom climbed to 12% to a record high of $168.24 on April 23 after the original post.
As billions of people have become reliant on video conferencing services for work and education, Zoom has got immense popularity in early lockdown days. But the company has given rise to other controversies surrounding its privacy lapses as it gained millions of users.
Facebook and Google have introduced their free video conferencing service a few days ago. Facebook has introduced Facebook Messenger Rooms and Google has made Google Meet, free to everyone since Zoom made the claim about more than 300 million active users.