Meta’s Reality Labs Declares $2.9 Billion Loss in Q1 2022

[Mic Drop]

On Wednesday, Meta Platforms Inc., formerly known as Facebook, announced its first-quarter 2022 results, declaring a $2.9 billion loss in its Reality Labs division (formerly Facebook’s Oculus division). That's a 61% increase over its $1.8 billion loss in the first quarter of 2021.

The Reality Labs division has been spending increasing sums of capital on developing virtual reality and metaverse-related products. Nonetheless, Reality Labs exceeded projections in the first quarter of this year, bringing in $695 million in revenue from sales of VR headsets and Meta Portal hardware.

Meta CEO Mark Zuckerberg remains confident about the company’s direction stating that losses are expected in the division, adding

"I recognise it’s expensive to build this, it’s something that’s never been built before. And it’s a new paradigm for computing and social connection.”

“We expect to be meaningfully better at monetisation than others in the space, and we expect that should become a sustainable advantage for our platforms as they develop.”

https://cointelegraph.com/news/meta-s-reality-labs-posts-2-9b-loss-i-recognize-it-s-expensive-says-zuck