Despite Metaverse’s promise to revolutionize the way people connect, there seems to be little ground for its success. In a record-breaking value change, Mark Zuckerberg’s company has tumbled down with a loss worth a mammoth amount of 240 billion dollars.
The loss has spread outwards onto well-known tech giants like Spotify and Twitter. A significant drop was observed in companies that were not likely to have suffered any loss like Apple and Microsoft.
Talking in terms of percentages might leave the impression that the amount is trivial but every percentage drop signifies a huge sum of money lost which is a nightmare for shareholders.
Who Is Responsible for the Downfall of Mark Zuckerberg’s Meta?
The question now is who is responsible for Big Tech’s current condition?
Just recently, a major change was brought about as Facebook’s founder decided to change the company’s name to Meta in light of highlighting the company’s new prospects.
Facebook, Mark Zuckerberg’s brainchild, was under a huge conundrum and conspiracy theorists believe the name change was brought about at this critical time to ensure people can forget about the massive scandal as they get enamored with the promise of a new digital world.
In a rather bizarre video, Zuckerberg himself introduces the Metaverse and its role in diversifying virtual reality to become more approachable than anyone has previously imagined.
Mark’s video entails his promise to bring people together, which he believes has always been the motto of his company. And staying true to that his creation of a new virtual world will cater to everything you could imagine, from working from home to watching movies with friends.
Creating virtual spaces and a digital identity where you can sell and buy like an actual business model, which is the economic basis of Metaverse. According to a securities findings report, an astronomical sum of 9 billion dollars was spent by Zuckerberg on the creation of Metaverse which is surprising since Mark himself has specified it could take at least another 10-11 years for him to figure out the Meta technology.
Apple’s New Track Blocking Feature Serves as a Major Blow for Facebook
However, some causes have warranted Meta’s sudden downfall. Firstly, Apple’s new feature allowed its users to restrict privacy settings enabling them to safely disengage with the constant following around by blocking internet advertisements.
This is a major blow for Zuckerberg’s company whose business model extensively focuses on surveillance capitalism. This means a major part of the company’s earnings is sourced through exploiting the privacy of its users.
We all know how Facebook makes money. Advertisements right. And since Apple users are considered to have more money, it makes them the most appealing target. Apple’s initiative signaled a bigger hurdle for Facebook as Benjamin Seufert writes about how Meta needs to make a replacement in their advertising infrastructure.
Zuckerberg’s Strategies Less Likely to Prove Fruitful Again
Amidst all the chaos, Zuckerberg’s competitive game in the Big Tech is his well-known strategy. After crucial revelations by a Facebook whistleblower, Frances Huegen, about the negative impact of the company’s deeply constructed capitalist ideology on young teenagers.
Despite knowing how young teenagers’ mental health is being put at risk, the company still does not have its priorities straight. We all know how Gen Z and millennials have taken a shift towards Instagram and Snapchat, leaving Facebook to become an app slowly losing its appeal for the young audience.
Zuckerberg’s aim at working on curbing the “unprecedented competition in store” has always been his favorite strategy. With the pandemic surge slowing down, Facebook is losing its users as people are more interested in going out.
According to a Bloomberg report, it will be a challenge to bring in customers and advertisers to the company since the demographic is shifting to the older population. Facebook’s strategy seems to have become stale and the old tricks are not suiting the company anymore.
Does This Mean It’s Over for Zuckerberg’s Plan?
There stands the possibility of his Metaverse plan tumbling down but the empire he has created has a massive reach and Facebook or now Meta is already embedded to a great extent into the internet.
Let’s see if Zuckerberg can save his brainchild and deliver the promise of a virtual world that people can only anticipate. The future will unfold what is to come. Stay safe and well aware!