Facebook shares rise as tech giant announces management changes

Facebook shares closed higher in the US Tuesday, as the tech firm announced a number of management tweaks and the news it was beginning a new block chain project.

Facebook shares rise as tech giant announces management changes

Facebook shares ended the US Tuesday trading session in the green after announcing a number of changes to its management team. The changes look likely to bring WhatsApp and Instagram closer to the social media platform, while a blockchain project is also set to begin.

Facebook shares closed 0.53% higher at $178.92. The stock is also a little higher in after-hours activity, Wednesday.

Facebook management shake-up

While no-one has lost their high level of responsibility at Facebook, the tech firm has announced some moves within its board and management team, still serving under Mark Zuckerberg as CEO and Sheryl Sandberg as COO.

Facebook’s chief product officer Chris Cox, will add to his responsibilities by overseeing the management of WhatsApp, Messenger and Instagram. That move comes as the second of WhatsApp co-founders, Jan Koum informed Facebook last week that he was following his former co-founder and stepping down from his role.

“I also want to thank Jan Koum, the founder of WhatsApp, who announced last week he is stepping down from our board. Jan has done an amazing job building WhatsApp, and I've learned so much working with him. I will miss working closely with him,” Zuckerberg said in a Facebook post.

Other key management team members will see their roles expand too, including Chief Technology Officer Mike Schroepfer and Vice President of Growth Javier Olivan.

Blockchain project

In addition to the tweaks at the top of the Facebook management team, Messenger leader David Marcus will move onto a new project for Facebook – creating a blockchain system for the platform.

“After nearly four unbelievably rewarding years leading Messenger, I have decided it was time for me to take on a new challenge. I'm setting up a small group to explore how to best leverage Blockchain across Facebook, starting from scratch,” Marcus said in a Facebook post.

The news comes as the potential for blockchain to improve online security processes is considered across a wide range of industries, outside of the cryptocurrency market for which it is currently primarily utilized.

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