“Meta’s Q1 2023 Revenue Beats Estimates Despite Layoffs and Focus on AI”

Jakarta –

Business Meta began to rise in the first quarter of 2023 after its revenue beat analyst estimates. This is certainly a breath of fresh air for Meta who is currently doing it efficiency and layoffs massively with a total of 21 thousand employees affected gradually.

According to Meta’s financial report in Q1 2023, this social media giant recorded revenue of USD 28.65 billion or around IDR 420 trillion. This is the first time Meta has recorded positive earnings after the previous three quarters experienced negative growth.

Meta also continued new user arrivals on Facebook, Instagram, and WhatsApp in the last quarter. In total, there are more than three billion people who use at least one Meta application on a daily basis.

In recent years, Meta has worked to change its image from a social media company to a pioneer of the metaverse. But this ambition has yet to materialize because the Metaverse Meta business is still experiencing losses.

This happened again in the last quarter, where the Reality Labs division which focused on developing virtual reality technology for the metaverse again experienced losses. This time, Reality Labs posted an operating loss of USD 3.99 billion and brought in revenues of USD 339 million.

While its metaverse business is still losing money, Meta seems to be shifting its focus to artificial intelligence (AI), following the success of AI technologies like ChatGPT which are trending in the industry.

“We had a great quarter and our community continues to grow,” said the CEO Meta Mark Zuckerberg in its official statement, as quoted from Gizmodo, Thursday (27/4/2023).

“Our AI projects are delivering good results across our applications and business. We are also becoming more efficient so we can build better products faster and put ourselves in a stronger position to realize our long-term vision,” he continued.

Financial analyst predicts business Meta will continue to increase this year after Zuckerberg declared 2023 the year of efficiency. Meta’s share value is up 74% this year, after its worst record last year when its share value fell 64%.

Meta itself has carried out the first phase of layoffs in November last year which cut 11,000 employees. In March, Zuckerberg announced a second phase of layoffs in which Meta would lay off an additional 10,000 employees through the end of this year.

Watch Video “Mark Zuckerberg’s Apology After Laying Off 11,000 Employees Meta“

(vmp/fyk)