Facebook's parent company, Meta, disclosed a drop in revenue for the third quarter. Meta's revenue fell 4 percent, according to a company release. Revenue is now down from $29 billion to $27.7 billion. Meta, meanwhile, said in its statement that significant changes are being planned to deal with this.
At the end of September, Facebook's monthly active user base increased by 2% to 2.96 billion, according to Meta. In contrast, the business now employed 87,314 people, a 28% rise from the previous year. In the announcement, Meta stated that "we are making big adjustments everywhere to function more effectively."
This revenue decline is primarily attributable to Meta's significant investment in the Metaverse. Meta’s virtual reality division, Reality Labs, lost $3.672 billion in the quarter. CEO Mark Zuckerberg, meanwhile, justified the $3 billion loss by focusing on 2023, adding that the current environment will help the company grow stronger.
Marg Zuckerberg established Meta a year ago to advance virtual reality. However, the company's income, profitability, and share price have all since decreased. Investors have also heard the alarm bells. The business's first-quarter revenue was below expectations. In the meanwhile, Zuckerberg has taken on the challenge.