Mark Zuckerberg, the CEO of Meta, continues to express optimism over the company’s ambitions for the metaverse, despite the fact that these plans will result in significant labor reductions and may potentially result in losses that total billions of dollars.
During a videoconference that took place at the 2022 DealBook Summit in New York, Mark Zuckerberg made an effort to allay the fears that he and his firm were not focused sufficiently on their primary business while working on the development of the metaverse.
In an attempt to dispel the notion that the firm is exclusively interested in the metaverse, he stated that the overwhelming majority of his time and the vast majority of the company’s effort are being put on the operation of social media platforms.
According to Zuckerberg, just twenty percent of the company’s investment portfolio is allocated to Reality Labs, which serves as the development arm of Meta’s metaverse.
Forty percent of that investment goes toward the development of the company’s Virtual Reality (VR) headsets, while the remaining fifty percent or more is put toward the development of what he refers to as the “long-term most critical form factor,” such as glasses that appear to be normal but are able to place holograms in the real world.
Mr. Zuckerberg acknowledged, as he did earlier this month when he addressed the workforce about company-wide layoffs, that he failed to anticipate the cyclical downturns in the economy and that his significant investments in the metaverse are now being followed by the difficult choice to scale back. He also acknowledged that he failed to anticipate the cyclical downturns in the economy and that he failed to anticipate the cyclical downturns in the economy.
For those who are skeptical of Meta’s metaverse initiative, Zuckerberg stated, “if you’re getting skepticism, you’re pushing hard enough.”
“I think things look very different on a ten-year time horizon than the zone that we’re in for the next few years […] I’m still completely optimistic about all the things that we’ve been optimistic about,” Zuckerberg added.
In May, Zuckerberg made a statement that was very similar to this one, saying that he anticipates that Meta’s play in the metaverse will result in a “significant” loss in the short term. The Chief Executive Officer of Meta is fully aware of the fact that the Metaverse plan will lead to losses for a period of up to five years, which will have a significant effect on the stock of the company.
Compiled by Coinbold
