Facebook founder Mark Zuckerberg is facing growing opposition because of the huge amount of money he is spending on the metaverse business. However, he argued on Wednesday that the company’s bet on the metaverse “is not the bulk of what we’re doing.
Mark said Wednesday, “About 80 percent of our investment goes to our core business and the advertising business associated with it which are what we call our app family, including Facebook, Instagram, WhatsApp Messenger. Then, less than 20% of the investment went to Reality Labs. We’re still going to do and move toward social media until the meta-universe becomes much larger.”
Since Mark Zuckerberg unexpectedly announced the renaming of Facebook to Meta last year, the company has invested a lot of money in metaverse technology. The Reality Lab division, which is responsible for the metaverse business, has lost nearly $20 billion since last year. This loss keeps increasing, and there is no end in sight. Some investors worry that Zuckerberg has lost focus on the company’s core social media business in exchange for a long-term project that could take years to pay off financially.
He also sperate Reality Lab’s spending, with 40 percent going to VR investments and about half to building long-term projects: “regular glasses that can display holograms in the world.”