Meta Feels Proud to Beat Revenue Expectation as Reports Confirm a Significant Increase in the Year-over-year Income in Three Quarters 

Meta has reportedly beaten revenue expectations with an increased year-over-year profit in three quarters for the first time. This ray of light for the social media giant comes in the middle of restructuring, leading to over 10,000 jobs layoff this year.

Previously known as Facebook, Meta witnessed the Metaverse all the rage as a sort of self-referential hype generation. Today it is all about artificial intelligence technology. While Meta’s investments met significant losses, Mark Zuckerberg, the CEO of the company, told the investors that he would not make a U-turn into the lane of Artificial Intelligence. Instead, he considers AI a technology that can comfortably work in a cycle with the Metaverse technology.

According to Mark Zuckerberg, people have developed a narrative that Meta wants to move away from its focus on the metaverse vision, although the company categorically says up front that such a narrative is not accurate. He said his company has long focused on Artificial Intelligence and the Metaverse and will continue to do so.

Metaverse Continues to Lose Spark

While Meta does not expect Reality Labs to make significant revenue, many investors have raised concerns saying this hefty investment may fail to repay. The CEO shows interest in the continuous development of artificial intelligence, which might mute some of the doubt-raising voices given Meta’s increased stock price.

Metaverse continued to be bleeding money and caused Meta’s department for Virtual Reality and Augmented Reality, known as Reality Labs, to lose $4 billion in the recent quarter. Zuckerberg confirmed that the company lost $13.7 billion in all quarters of 2022. VR and AR involve artificial intelligence.

Zuckerberg says Meta’s vision for Augmented Reality powered glasses includes an Artificial Intelligence-centric operating system that the company thinks will be the foundation of the next generation of computing. Regarding Metaverse’s vision, Zuckerberg believes that almost half of the active users on Quest headsets use their devices for more than one hour every day. He does not reveal the number of people who use Quest headsets regularly.

Another Huge Layoffs

Meta expects another round of massive layoffs this week, but it continues to commit to Metaverse building as a long-term project. Zuckerberg confirmed his commitment to the tech with the same rationale for it. A Vox report cites that several working sources at Meta confirm another round of mass layoffs by upcoming Wednesday.

Although the social media giant confirmed the downsizing, it refused to say anything else about the matter. On the other hand, one of the working sources of Meta told the digital media that the latest layoff could impact 4,000 employees, which is a part of the 10,000 downsizings Mark Zuckerberg announced in March 2023.

Many of these jobs belong to low-priority projects. The CEO said the last year that 2023 would be the year of efficiency and began it by downsizing 11,000 employees, as announced in November last year. He also said April’s layoff would affect employees in the tech department, whereas May’s round of layoffs will bother the business side.