Meta's Miss Is A Win
Meta had the largest one day loss of value of any stock ever. There are concerns about both Meta's revenue and costs. That's never good on Wall Street. It's not good anywhere. But when you look at the details, the picture is very different. Costs are going up because Zuckerberg is looking to invest in the next big thing and bring back the growth that made Facebook one of the world's tech giants. That big thing - virtual reality. He's already invested billions in VR when most of the tech world has stood on the sidelines. He's said he will spend up to $10 billion dollars. . . over the next 12 months! He's hiring thousands of new VR/AR employees. He is all in. If you believe VR will expand into the daily lives of people across the globe, then the picture is very exciting for Meta.
Regardless of whether you like or dislike Zuckerberg and his social media behemoths, he has a long record of success. He was a teenager when he started Facebook and didn't give up the reigns and didn't crash the whole thing into the ground. That's extremely rare. Instead, he made it into one of the dominant tech companies in the world (for better if you like Meta, for worse if you don't). Then there was the question of whether he would be able to 'monetize' Facebook. He did. It's earnings are higher than Amazon's. He's turned the acquisitions of Instagram and WhatsApp into huge successes. Now his focus is bigger. VR isn't an app, it's as fundamental as the TV was decades ago. Meta has a huge head start and it's piling in more money into the bet as we speak.
Some believe he is wrong about VR. He might be. But his track record of success has to make anyone involved in VR excited that there is a leader in tech dedicated to VR's success.