CEO Mark Zuckerberg has reaffirmed his commitment to spending billions on growing the Metaverse amidst concerns from investors over the health of his company’s online advertising business.
In a call with analysts as part of Metas third-quarter earnings call, Zuckerberg and other Meta executives faced off against a series of questions from analysts who seemed increasingly disenchanted by the company’s growing costs and expenses, which increased 19 per cent over last year to $22.1 billion in the quarter.
Meta shares fell 19% after the company issued weak guidance for Q4 that was lower than analysts’ estimates. Facebook’s parent company’s revenues declined 4% compared with a year ago, to $27.7 billion, during Q3, and its profits fell 52% to $4.4 billion from a year ago.