Meta CEO Zuckerberg Keen on Metaverse Plans Despite $13.7 Billion Loss in 2022
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
Despite previous setbacks, Meta CEO Mark Zuckerberg stated recently during a fourth-quarter earnings meeting that the company remains committed to exploring the metaverse industry and developing more innovative projects.
Meta’s Innovative Long-Term Strategy for the Metaverse
Meta’s founder and CEO, Mark Zuckerberg, remains bullish on the company’s metaverse plan for the long term regardless of losing a boatload of money. According to Zuckerberg, the company will continue to invest 20% of all investment portfolios into Reality Labs, Meta’s metaverse department.
On February 1, the million-dollar company released earnings reports that showed that Reality Labs lost a whopping $13.7 billion in 2022, the highest loss ever recorded in the metaverse industry. In its earnings reports, the Reality Labs division recorded a $4.28 billion operations loss in the fourth quarter, which caused a buzz worldwide.
During the earnings meeting call, Mark Zuckerberg answered questions to ease rumors about the multi-trillion-dollar company’s plan to quit all metaverse projects and focus on other mainstream business components to mitigate financial setbacks.
To further debunk the myth, he stated that none of the previous signals suggests that Meta should shift Reality Labs’ innovative plans. More so, the company is set to launch a revolutionary “next generational” headset as a follow-up upgrade to Quest Pro Virtual Reality (VR) headset that debuted in October 2022.
It is worth noting that it was a tough first year for the new Meta era after the company formerly known as Facebook said in 2021 it would venture into the metaverse. In this exciting digital universe, billions of people can co-exist, work, play, learn, and do much more.
Susan Li, Meta’s Chief Financial Officer (CFO), said that it is a possible expectation for losses to increase in 2023. She added that Reality Labs would invest significantly based on every meaningful long-term opportunity discovered.
The multi-trillion dollar tech giant recorded an overall revenue of $32.1 billion in the fourth quarter, beating Wall Street’s initial revenue expectations. According to Yahoo Finance reports, Meta’s high revenue has caused its stock price to surge to +2.79% as of press time.
Meta’s Innovative Partnerships and Vast Projects in Metaverse
Meta’s platform has partnered with top giants to bring innovative concepts and projects into the digital universe. One of its most prominent collaborations is with Microsoft, a versatile technology-based company. Meta’s partnership with Microsoft aims to bring a wide range of new content, including a range of Microsoft Office 365 products, into Meta’s Virtual Reality (VR) platform.
During Meta’s Connect 2022 conference, Microsoft CEO Sarah Madella said Microsoft Teams would Quest devices and provide a smooth way to stream a vast range of Windows applications to Meta’s headsets. This innovation will allow people to gather and interact virtually with ease.
Familiar Microsoft applications such as Excel, Word, PowerPoint, SharePoint, and Outlook will be available within Meta’s VR.
Meta’s exciting partnership with Microsoft attempts to pack full-fleshed features into the Quest Pro headset to tempt users into adopting the virtual universe. The communication and technology company claims that the new equipment is more comfortable and works with greater resolution and performance compared to other existing headsets.
The Quest also features “more intuitive” feedback and “real-time expression tracking” to enable users to seamlessly sync their facial expressions, such as smiles and winks, with their virtual avatar facial.
Nadella asserted that the pandemic brought about the major development of metaverse and strategic partnerships or further created simpler ways to go about day-to-day activities without restrictions caused by diseases or other unexpected scenarios.
“Now, billions of people can connect, share, and collaborate as though they’re together in person,” Nadella added. When asked about the end goal, Zuckerberg said Meta wants everyone to have the unique ability to feel present.
Furthermore, Microsoft has shown core interest in developing software to explore the metaverse. The tech giant announced “Mesh” for Microsoft Teams, which will enable the platform to power shared experiences via virtual reality (VR), augmented reality (AR), and various productivity tools.
