Why the metaverse (and the meta) failed in 2022

metaplatforms (GOAL 2.72%) reported losses of about $10 billion at its Reality Labs division, which is building the company’s vision of the “metaverse,” in 2021. And it has already lost more than $10.2 billion at Reality Labs during the first nine months of 2022, with the potential for more than $24 billion in cumulative losses by the time 2022 is fully accounted for. Founder and CEO Mark Zuckerberg said the expense is worth it, as it helps the company create the next computing paradigm and gives it the opportunity to define the future of technology.

But investors are not convinced. Meta’s share price is down 60% last year, with some saying the company has lost its way. Let’s see why Meta’s bet on the metaverse was ill-advised and why the best move for investors…