Mark Zuckerberg thinks himself an inventor with Meta’s ongoing Metaverse focus. Announced last year amid a sea of controversies, the upcoming digital world is currently in a barebones state. However, with billions lost every quarter, Meta is expected to, one day, create a virtual environment to be excited by.
Zuckerberg prepares Meta to lose even more billions
Despite a lack of enthusiasm for Meta’s Metaverse by the general public, the company is still going full steam ahead on the product. Much to the exhaustion and frustration of long-term employees, the Metaverse is infiltrating every group Meta owns.
In order to create both the virtual world and mixed reality headsets, Meta is planning to continue losing billions every year for at least half a decade. However, after the Metaverse is deemed popular, the company will recoup losses with egregious digital monetisation and commissions from user-created content.
In a report by Business Insider, Mark Zuckerberg is claiming that the company is destined to lose “significant” amounts of money over the next few years. For the next “three to five years”, Metaverse development will match or vastly eclipse the $10 billion loss attributed to development last year.
While new headsets like Project Cambria are expected to be incredibly expensive, Meta is hoping to create new adorable headsets as well. As successors to the Oculus Quest line, the next-gen Meta Quest headsets are expected to be more powerful, more affordable and more lightweigh
“We want to get the hardware to be as affordable as possible for everyone, and make sure the digital economy grows,” Zuckerberg said.
How will they match these losses
Meta isn’t planning anything big to make up for the billions that Metaverse development is losing. However, they do have ways to patch some holes.
For example, Instagram’s new focus on TikTok style Reels is planned as a way to make more money while the Metaverse drains funds. With TikTok a global sensation across a wide range of location and age demographics, Meta wishes to match it.
However, while Reels are certainly popular, there is no sign that short form video on Instagram will take over TikTok. Only time will tell.