A year ago, Mark Zuckerberg declared virtual reality the next frontier to drive Facebook’s growth. But so far, there has been very little of it.
The company’s share price has plunged, revenues are falling and profits are on the decline.
The picture worsened on Wednesday, after the company, now named Meta, updated investors on three months ended in September.
Sales shrank 4% compared to a year ago to $27.7bn, while profits halved.
The company, which also owns Instagram and WhatsApp, is struggling as companies cut advertising budgets in the face of economic uncertainty, changes to Apple’s privacy settings undercutting its targeted ads, and competition from rivals such as TikTok heats up.
“While we face near-term challenges on revenue, the fundamentals are there for a return to stronger revenue growth,” chief executive Mark Zuckerberg said in a statement.
“We’re approaching 2023 with a focus on prioritization and efficiency that will help us navigate the current environment and…