Company Name Change Facebook Targets Metaverse... "We Move Forward Even If We Make Mistakes"

Zuckerberg: "Metaverse is the Successor to Mobile Internet"

[Image source=AP Yonhap News]

[Asia Economy New York=Correspondent Baek Jong-min] The world's largest social network service (SNS) company Facebook has changed its name to Meta and expressed a strong will to expand its business area from social network services (SNS) to the virtual reality world. This also seems to be an intention to renew its image damaged by recent internal whistleblowing.

Mark Zuckerberg, Facebook CEO, announced the name change on the 28th (local time) through the 'Facebook Connect' event and a founder's letter.

Zuckerberg explained the reason for the name change, saying, "Facebook is one of the most used products in history and an iconic social media brand, but it does not encompass everything we do."

Zuckerberg said, "We have evolved from desktop to web and phone, from text to photos and videos, but this is not the end." He said, "I believe the metaverse will be the successor to mobile internet."

On the same day, Facebook actively showed its will to transform by changing the signboard in front of its headquarters in Menlo Park, California, to Meta.

Facebook is expected to change its status from a company owning WhatsApp and Instagram to a subsidiary SNS service operated by Meta. Facebook will also be traded under the changed name MVRS on the stock market starting December 1.

The metaverse, meaning a three-dimensional virtual world, is a compound word combining 'Universe,' meaning the real world, and 'Meta,' meaning 'beyond' or 'transcend.' It is a field expected to grow rapidly as virtual reality develops.

A scene of virtual reality using the metaverse released by Facebook. [Image source=EPA Yonhap News]

At the event, Facebook showcased several videos introducing the metaverse. Earlier, it also announced plans to hire 10,000 people in Europe.

Facebook predicted that large-scale investments would be made in Facebook Reality Labs, and operating profit would decrease by $10 billion this year. Zuckerberg said, "Building the foundational platform for the metaverse will be a long journey," and "we expect to spend billions of dollars over the next several years."

Besides Facebook, Microsoft, Nvidia, Unity Software, and others are also developing metaverse-related services. Roblox and Epic Games are also mentioned as metaverse-related companies.

Zuckerberg also addressed the timing of the name change and business direction shift amid the spreading controversy caused by internal whistleblowing. He said, "I know some people say now is not the time to focus on the future, but it is important to move forward even if mistakes are made."

The Wall Street Journal evaluated Facebook's attempt as trying to break away from the past, linking it to Apple's removal of 'Computer' from its name and Google's launch of the holding company Alphabet.