FACEBOOK PAUSES SALES OCULUS QUEST DUE FULL
But there’s a full sword fight unfolding on my right, and barely anyone seems to be paying attention to the game itself. I carefully count out chips from a pile under my left hand and throw them in the middle for a raise. There are top hats, giant sunglasses, liquor poured into delicate China teacups, insults and ammo blasted every which way. And the next year will likely bring about both increased competition-as Apple reportedly preps its own VR headset-and regulation, with the Federal Trade Commission continuing to push against Meta’s aggressive acquisition strategy. When Mark Zuckerberg posts something new about Meta’s metaverse, public sentiment is overwhelmingly negative. Many of Meta’s virtual spaces are all but ghost towns, with reports alleging that even Meta’s own employees are reluctant to spend time inside them. Since the beginning of the year, Meta’s stock has declined 70%, compared with the S&P 500’s 20% drop over the same period. Those losses, in part due to lower sales of the Quest 2 virtual-reality headset, added to Meta’s overall disappointing financial performance and sparked a stock selloff that saw its shares tumble.
On Wednesday, the company reported a quarterly loss of $3.67 billion in its Reality Labs, the unit responsible for delivering on Mark Zuckerberg’s metaverse plans. So the company has changed its name, invested $10 billion this year alone in VR and AR, and forged uneasy alliances with tech competitors and global governmental agencies, all in an effort to become the company that ushers in a new virtual era. Perhaps not coincidentally, Facebook is losing ground fast to TikTok, and Meta’s longtime central business model-ad revenue on Facebook’s News Feed-is faltering.
They’re also hoping this uncharted journey into the metaverse can revive the company, which shed the Facebook name and rebranded itself a year ago as Meta.
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