Meta Shifts Focus Away from Metaverse: Reportedly Cancels All Metaverse Plans

A couple of months back, Mark Zuckerberg, the CEO of Meta, was a fervent supporter of the Metaverse as the next stage of the internet. According to a post in The Information, Meta has lately ceased referring to the “Metaverse” when speaking with prospective partners about collaborations. Instead of the Metaverse, the corporation is now advertising short-form movies and TikTok-like AI capabilities to its marketers.

This is a substantial change from the previous year when Zuckerberg repeatedly discussed the Metaverse as the internet’s future. According to the post, Meta allegedly gives discounts of up to 25% to marketers that spend a specified amount of money on Reels. Some ad executives consider an excessively big reduction.

Meta’s AI Tools Investment

Meta has been investing in generative AI tools. These tools can assist its advertisers in constructing marketing campaigns and advertising their Reels and AI capabilities. These solutions create content for adverts using machine learning algorithms, which may help businesses save time and money. This is consistent with Meta’s larger plan to use AI to automate procedures and boost effectiveness.

Leaving Metaverse

The shift from the Metaverse is also a component of Meta’s “Year of Efficiency” project, a key area of emphasis for the business lately. As part of the plan, Meta fired approximately 20,000 workers to improve efficiency and save expenses. The decision to abandon the Metaverse is probably a reaction to the exorbitant expenses of developing a virtual world platform.

The company spent around $4.3 billion on Reality Labs in the last quarter alone. Its vision for the Metaverse as the next iteration of the internet led the company to change its name. This strategy may provide speedier outcomes and give the business’s bottom line a more immediate lift, which might help ease the strain it has been under lately.

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