Facebook’s parent company Meta is having a decent day today, beating its revenue and user activity forecasts for its final fiscal quarter of 2022. In fact, it has cost the company billions in losses.
Meta stocks are definitely going up. After sharing some pretty good fourth-quarter financial results, in after-hours trading today, the company’s VR arm, Reality Labs, has some positives to share as it continues to blow money at an alarming rate. It didn’t have news. Today, the company confirmed that it lost more than $4 billion in VR and Metaverse development in the final quarter of 2022. $13 billion in 2022 Attempting (and failing) to build a metaverse that people flock to.
By comparison, Meta generated $32.1 billion in revenue across all divisions and apps.
As reported by Decrypt.co, Meta’s Reality Labs only brought in $727 million in revenue in the final month of 2022. It’s not huge when compared to the billions of dollars spent on the sector in the same year, but it’s also a worse result than you might imagine. This figure is down 17% from the segment’s revenue for the same period in 2021.
Also, Facebook’s flagship metaverse software, horizon worldwas basically a fiasco. Most of the worlds in it are empty and rarely playedNot only that, but few of the company’s employees use it, and an internal memo has been leaked stating that Meta’s employees don’t enjoy using it. horizon world Because it is full of bugs and other quality issues.
Really the only big success story from Reality Labs is the Oculus Quest 2 headset, which was seen by many as an affordable alternative to pricey PC and console VR headsets and was also completely standalone. But in July Meta Increased the price of that affordable headset by $100the 128GB model is currently $400 and the 256GB model is currently $500.
November 2022, Meta lays off 11,000 employeesblaming covid for “macroeconomic downturn, increased competition and loss of advertising signals”. Zuckerberg blamed himself for layoffs, but conveniently, the layoff announcement didn’t mention how much money the company is spending on developing VR and the Metaverse.Over the past few years, the company has tens of billions of dollars I’m trying to realize a metaverse using VR.
And now, in February 2023, following massive layoffs and continued losses, Unattractive empty PlayStation Home clone To show all its problems.