The fate of "Metaverse" is at stake.. Facebook plans to dismiss thousands of employees similar to Twitter
The Wall Street Journal reported that the "meta" group, the parent company of Instagram and Facebook, plans to dismiss thousands of employees starting this week, following the example of several leading companies in the field of technology due to the global economic crisis.
"Meta" employs about 87
thousand employees worldwide, according to the figures of September 30.
While publishing the latest disappointing results recently, the head of the meta group Mark Zuckerberg explained that the number of employees in the company cannot increase by the end of 2022, it should decrease a little.
According to the newspaper's sources, this is expected to be announced on Wednesday, and this decision will affect thousands of employees in the first such action in the history of the social media giant meta.
Last Thursday, two groups in Silicon Valley, namely "stripe" and "Lyft", announced the dismissal of a large number of their employees, while the Amazongroup decided to freeze hiring.
As soon as Tesla CEO Elon Musk, the richest man in the world, took to the social networking platform Twitter, he fired about half of its 7,500 employees.
While electronic platforms, most of whose revenues are based on advertising, are suffering, especially after advertisers reduced their funding due to the background of high-interest rates and global inflation.
The net profit of the "meta" group fell to about 4.4 billion dollars in the third quarter of the year, i.e. (-52% year-on-year).
Zuckerberg explained at the end of last October that "we are facing a volatile macro economy, increased competition, loss of advertising and increasing costs of our long-term investments," stressing that "the prospects for our product, from what I see, look better than some comments indicate".
The group's stock fell the next
day by 24.56% on Wall Street.
The "Metaverse's" future is in jeopardy.
Meanwhile, the "meta-reality
lab" unit, which manages the company's efforts for virtual reality
and "Metaverse", recorded revenues of 285 million dollars, a decrease
of almost 49% from last year.
The CFO of the company
"meta" David Weiner challenged that the reason was due to the decline
in sales of its virtual reality headsets. The company suffered losses of 3.7
billion dollars.
He is preparing the main product "Aurizon world" of the company "meta-Metaverse" for consumers, he has less than 200 thousand active users per month.
which is a
figure much lower than the original target of the company meta of 500 thousand
users by the end of this year, according to company documents provided by the
newspaper "Wall Street Journal" earlier this month.
"Meta," said that the
average price of its advertising has decreased by 18% year-on-year.