Meta founder and CEO Mark Zuckerberg says the company has no plans to change its long-term strategy for the metaverse, even though operating losses from its Reality Labs business will peak in 2022.
Meta on February 1 released Profits showing Reality Labs lost $13.7 billion in 2022, the largest annual losses ever recorded for its metaverse construction division.
The fourth quarter was particularly costly, with the division losing nearly $4.3 billion, which was also the biggest quarterly loss within the department since the business's financials were first released.
In earnings on February 1 call, Zuckerberg was adamant about the company's metaverse strategy. Responding to a question about how business efficiency applies to Reality Labs, he responded:
"None of the signs I've seen so far suggest that we should change Reality Labs' long-term strategy."
He added that later in 2023, the company would launch another "next-generation consumer headset" after October. launch your Quest Pro Virtual reality (VR) headset.
Meta CFO Susan Li also doubled down on the Reality Labs business, echoing Zuckerberg's statement from a third-quarter earnings call that business losses would increase in 2023.
"We still expect our full-year Reality Labs losses to increase in 2023, and we will continue to invest significantly in this area given the significant long-term opportunities we see."
Related: Meta Obtains Court Victory In Metaverse Takeover Plans: Report
Meta's overall revenue for the fourth quarter was $32.1 billion, beating Wall Street expectations.
Better-than-expected revenue numbers sent Meta's stock price higher after the bell, gaining nearly 19.5% in after-hours trading as of this writing. according to to Yahoo Finance.
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