Meta’s net income dropped by 36% in ONE YEAR…

Meta reported its earnings for the second quarter of 2022, and it was another quarter of shrinking profits…

The size of decline compared to a year ago is MAJOR…

This is the first-ever drop in revenue for Meta/Facebook.

Revenue from advertising and Meta’s “family of apps” was essentially flat year-over-year, and Reality Labs (home to hardware like the Meta Quest and other metaverse-related initiatives) grew 48% year-over-year to $452 million.

Total revenue of $28.8 billion was down 1% compared to Q2 one year ago, but net income dropped 36% to $6.7 billion.

Reality Labs accounted for a $2.8 billion loss this quarter, a 15% greater loss than Q2 one year ago.

At this rate, it seems that Reality Labs will lose Meta more than the $10 billion it cost the company in 2021…

Meta expects Reality Labs’ revenue to be lower in Q3.

The same day, the FTC announced it was seeking to block Meta’s acquisition of Supernatural VR workout app maker Within, a proposed sale that was announced last year.

“Instead of competing on the merits, Meta is trying to buy its way to the top,” John Newman, deputy director of the FTC’s Bureau of Competition, said in a statement.

In June, Meta said that it had 2.88 billion daily active users in its family of apps (which includes Facebook, Instagram, WhatsApp and Messenger) and 3.65 billion monthly active users, both of which are up 4% in one year.

Facebook-specific growth was smaller, though, with the average daily and monthly users only increasing by 3% and 1%.

A New Chief Strategy Officer for Meta

As of November 1st, Meta’s Chief Financial Officer, David Wehner, will become Meta’s Chief Strategy Officer. Wehner will “oversee the company’s strategy and corporate development.”

VP of Finance Susan Li will be promoted to the CFO position when this change goes into effect.

A.I. Driven Technology Will Improve the App’s Analytics

CEO Mark Zuckerberg said that about 15% of the content that people see on Facebook and Instagram are AI-driven “recommendation” posts, and he said that he expects that to double over the next year.

If you’re already frustrated by the drastic changes that Meta is making to Facebook and Instagram, trust that things will get better soon…

READ MORE: 6 Ways to Be a Great Leader

ABOUT THE WRITER:

Elena Patestas is a journalist and writer for Valuetainment media. She attended Pepperdine University in Malibu, California, and Adelphi University on Long Island, New York. She was born and raised in Roslyn, New York, and currently lives in Miami, Florida.

Elena is passionate about bringing positive change to our world and believes education is the root to solving many societal problems. After overcoming a chronic health condition, Elena became passionate about health and believes food is the key to preventing dis-ease and achieving optimum health.

Amongst her many goals, she hopes to bring positive, impactful change to our world to create a healthy, financially sound, and unified society.