Why is Meta Platforms cutting its Metaverse budget?

Meta Platforms is reportedly cutting its Metaverse budget by up to 30% as the company re-evaluates its investment strategy.

When was Meta's Metaverse project introduced?

Meta Platforms introduced its Metaverse project in 2021.

How is Meta Platforms stock reacting to the news?

Meta Platforms' stock is jumping in premarket trading following reports of the Metaverse budget cuts.

Home / Business and Economy / Meta Slashes Metaverse Budget by 30%

Meta Slashes Metaverse Budget by 30%

4 Dec

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Summary

Meta Platforms reportedly cutting Metaverse budget by up to 30%.
The company's Metaverse project was introduced in 2021.
Stock is jumping in premarket trading following the news.

Meta Platforms is reportedly set to significantly reduce its investment in the Metaverse, with sources indicating a budget cut of up to 30%. This strategic pivot is already having a positive impact on the company's stock, which experienced a notable jump in premarket trading on Thursday.

The company's ambitious Metaverse initiative, launched in 2021, has been a major focus for Meta. However, these new reports suggest a substantial scaling back of the financial resources allocated to this division, signaling a potential shift in the company's long-term vision.

This news comes as investors closely watch Meta's financial strategies. The stock's positive reaction in early trading indicates market approval for the reported cost-saving measures and a potential refocusing of resources towards other core business areas.

Disclaimer: This story has been auto-aggregated and auto-summarised by a computer program. This story has not been edited or created by the Feedzop team.