Facebook CEO: Metaverse Will Be ‘Holy Grail of Social Experiences’
“This is not an investment that is going to be profitable for us anytime in the near future,” Zuckerberg said during the company’s third-quarter earnings call on Monday.
Facebook CEO Mark Zuckerburg; Source: Shutterstock
- CEO Zuckerberg predicted that the company could bring 1 billion people into the metaverse within the next decade
- Facebook expects a total revenue ranging from $31.5 billion to $34 billion in Q4
Facebook will spend more than $10 billion on its metaverse division, called Facebook Reality Labs, CEO Mark Zuckerberg said during the company’s third-quarter earnings call on Monday. The money will go toward augmented and virtual reality products, services and other efforts to “develop the next generation of online social experiences,” he said.
He added that a Facebook metaverse could enable “hundreds of billions of dollars of digital commerce.”
However, the social media giant does not expect to see profits from the multi-billion dollar investment anytime soon. Zuckerberg said the investment is “long-term” but will eventually “help bring the metaverse to life.”
Additionally, Zuckerberg announced that the company will report a separate set of financials for Facebook Reality Labs, which will oversee the company’s virtual and augmented reality efforts moving forward.
The company’s revenue increased to $29 billion in Q3 from roughly $21.5 billion on year, missing analysts’ expectations of $29.6 billion. Facebook expects a total revenue ranging from $31.5 billion to $34 billion in Q4, according to its financial report.
“We made good progress this quarter and our community continues to grow,” Zuckerberg said. “I’m excited about our roadmap, especially around creators, commerce, and helping to build the metaverse.”
Facebook Inc. (FB) shares are up 1.12% at $332.30 during extended trading hours.