A year ago, Mark Zuckerberg renamed Facebook to Meta and declared that he was betting everything on the virtual reality experience known as the “metaverse.” Since then, just as the world economy has slowed, inflation has risen, and investors have started paying more attention to costs, Meta has invested billions of dollars in and reorganized itself around emerging technology.
The result has been nothing less than catastrophic. Spending on the metaverse and the slowing growth of social networking and digital advertising have both had a significant negative impact on Meta’s earnings this year. The Silicon Valley business reported its first sales loss since going public in July. Over 60% of its shares have been lost this year.
On Wednesday, Meta maintained that trend and said the downturn would likely continue for some time. It stated that in order to function more effectively, it will be “making significant adjustments across the board,” including by reducing the size of some teams and hiring exclusively in its top priority areas. The company’s third-quarter revenue fell by 4% to $27.7 billion from $29 billion in the same period last year. The net income was $4.4 billion, a 52% decrease from the prior year. Spending increased by 19%. More information about the Big Tech App Store Battle: Spotify wants to enter the audiobook market, but Apple has twice rejected the company’s new app. The current deadlock is the most recent in a string of disputes between corporations. Inside of Meta’s Conflicts
After a challenging year, Meta staff members are voicing doubt, uncertainty, and unhappiness regarding Mark Zuckerberg’s plan for the metaverse. An Agreement for Twitter Elon Musk made an unexpected offer to buy Twitter for his original asking price of $44 billion, which might put an end to the bitter court battle between the businessman and the corporation. changes at Twitch The video game streaming service recently announced that it will take a larger portion of the revenue it distributed to streamers. Streamers grumbled about the choice at an annual event. The company’s investments in the metaverse remained problematic. The metaverse’s primary virtual reality and augmented reality projects are handled by Meta’s Reality Labs branch, which reported $3.7 billion in losses.