Once unstoppable god of social media, Meta, has fallen on hard times following poor financials and phenomenal Metaverse spending. As a result, seeing the world spanning tech behemoth slash its workforce by a staggering 13%.
Last year, at the height of the bull run Meta announced a pivot into the new-fangled realm of the Metaverse, even updating its company brand to reflect its goal of building a new kind of 3D social media ecosystem. Since then, the media goliath has spent an estimated $36 billion on the project without a great deal to show for it.
This enormous spending coupled with poor financial results has caused Meta’s share price to tumble 70% this year alone, leaving the beleaguered company no choice but to cut 13% of its 70k strong workforce. Despite this, company kingpin, Mr. Zuckerberg, has doubled down on Meta’s ambitions for the Metaverse, indicating that it still believes that this fledgling technology represents the future of social media.
In the shadow of all this turmoil, Web3 could also provide a lifeline for Meta’s position as a market leader which recently saw the company launch NFT integration within its Facebook and Instagram properties, with the latter getting ready to add an entire marketplace feature to its services. For now, it seems that the fate of Meta remains intertwined with the emergence of Web3.