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Match Group shares fell more than 23 percent on the news of Facebook’s service.

IAC, Match Group’s parent company, dropped more than 15 percent.

“Preferred” listings, or those with featured website buttons, indicate YP advertisers who directly provide information about their businesses to help consumers make more informed buying decisions.

“There are 200 million people on Facebook that list themselves as single, so clearly there’s something to do here,” Zuckerberg said.

Facebook users have been able reveal on the network whether they are single or in a relationship since it first went live in February 2004.

IAC, the parent company of Match Group, issued a barbed response to the news on Tuesday, riffing on Russian groups using Facebook to spread misinformation. Their product could be great for US/Russia relationships." Nonetheless, Match Group's stock cratered on Wednesday. It recently moved into subscriptions and, while it doesn't disclose revenue, is profitable.

Match Group owns big dating services such as OKCupid, Plenty Of Fish, and Tinder. Happn might be a private company, but it's possible that Facebook's move into the dating space could torpedo the competition. Asked why he thought Facebook didn't acquire a dating app — like Happn or Bumble — Rappaport pointed to Facebook's decreasing app usage.

In an interview with Business Insider, Didier Rappaport said social networking and dating were totally different — and that Facebook was trying to distract from its privacy problems.

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