Facebook, one of the largest and most widely used social media platforms in the world, recently underwent a major rebranding and officially changed its corporate name. After 18 years as Facebook, the company is now called Meta Platforms, or Meta for short. This surprising name change marks a strategic shift towards building the “metaverse” and expanding beyond social media into new areas like virtual and augmented reality.
Why did Facebook change its name to Meta?
Facebook CEO Mark Zuckerberg announced on October 28, 2021 that Facebook would be changing its name to Meta Platforms, Inc. or Meta for short. Zuckerberg stated that this rebranding reflects the company’s focus on building new technologies that go beyond social media and traditional two dimensional internet experiences.
Specifically, Zuckerberg has a vision of developing a “metaverse” – a virtual environment where people can interact digitally using virtual and augmented reality technology. The term “metaverse” refers to a hypothetical iteration of the internet that incorporates 3D virtual environments. The name Meta signals the company’s commitment to developing products and technologies that support the metaverse vision.
In addition to the corporate rebranding, the Facebook app and service will remain unchanged and keep the Facebook name. The rebranding only applies to the parent company that oversees Facebook, Instagram, WhatsApp, and other products.
When did the name change take effect?
The name change from Facebook, Inc. to Meta Platforms, Inc. took effect on December 1, 2021. This marked the official corporate rebranding for Facebook. The company’s stock ticker symbol also changed from FB to META on December 1, reflecting the new corporate identity.
The Facebook app and service itself will remain unchanged and continue to be called Facebook. Only the parent company has been rebranded to highlight the company’s focus on the metaverse. All Facebook apps and services like Instagram, Messenger, WhatsApp, and Oculus will stay the same under the Meta company umbrella.
What products and technology will Meta focus on?
As part of its metaverse initiative, Meta will focus on developing several key technologies:
- Virtual reality – Meta is investing heavily in virtual reality hardware and software. Its Oculus VR headsets are a key part of bringing virtual reality to consumers.
- Augmented reality – Meta plans to release AR glasses and other wearable tech that overlays digital elements onto the real world.
- Brain-computer interfaces – Meta’s research lab is working on neural interfaces for controlling computers with brain signals.
- Social platforms – Facebook, Instagram, and Meta’s other social apps will continue evolving with metaverse features.
- Digital avatars – Meta is developing customized digital avatars to represent users in the metaverse.
- Digital goods/payments – Cryptocurrency, NFTs, and other blockchain technology will facilitate transactions in the metaverse.
By developing these technologies, Meta aims to create an interconnected virtual world where people can interact digitally in new ways beyond traditional social media. The metaverse encompasses virtual reality, augmented reality, and the internet linked together into a persistent virtual environment.
How will the metaverse work?
The metaverse that Meta envisions is a network of persistent, shared, 3D virtual worlds tied together. Individuals can access these virtual worlds using VR/AR devices, digital avatars, and other technologies Meta is developing. Some key aspects of Meta’s metaverse plans include:
- Presence – Users feel like they are actually present with other people in a virtual environment.
- Interoperability – Users can seamlessly teleport between different virtual worlds with their avatars and digital goods.
- Concurrency – Many users can interact together in a shared virtual space at the same time.
- Persistence – Virtual worlds continue to exist and evolve even when users log off.
- Value creation – Users can create, own, invest in, and sell virtual goods and services.
Meta expects people will socialize, work, play games, shop, and more inside the metaverse. It may also support entirely new categories of experiences that are still unimagined.
What will users be able to do in the metaverse?
Meta envisions many different uses and experiences that will be possible in the fully realized 3D metaverse. Here are some of the key things users may be able to do:
- Socialize with friends and family as personalized 3D avatars
- Work collaboratively on virtual 3D content with remotely located colleagues
- Shop at virtual stores, changing your avatar’s appearance
- Play massive multiplayer games in shared real-time 3D worlds
- Attend live concerts, sports events, and more as an avatar in a virtual arena
- Visit virtual museums, tourist destinations, and other locations from anywhere
- Own virtual goods like avatars, clothing, art, music, and even homes
- Create and sell your own virtual goods and services
The possibilities span entertainment, social connection, work, education, healthcare, travel, and more. It aims to be an evolution of how people interact with the internet and each other.
What will the metaverse look like?
The metaverse is still very early in development, so its full vision is still coming into focus. However, Meta and other companies building toward the metaverse have offered some glimpses of what these interconnected 3D worlds may look and feel like:
- Horizon Worlds – Meta currently offers this social VR world as an early example of a metaverse experience.
- Realistic avatars – Digitally rendered bodies and faces aim to convey realistic presence.
- Imagined worlds – Virtual environments not limited by real-world physics or geography.
- VR/AR hardware – Headsets, glasses, and wearables will enable access and interaction.
- Seamless experiences – Transitions between virtual worlds and apps within them.
- Familiar interfaces – Evolutions of current social feeds, messaging, etc. adapted for the metaverse.
- Mixed physical/virtual – Some blended experiences incorporating both real and virtual elements.
Meta’s demo videos have depicted the metaverse as an immersive 3D environment using avatars, with portals to move between different virtual worlds. The company expects this vision to develop gradually over the next 10-15 years.
How will Meta monetize the metaverse?
As Meta transitions from a social media company to a metaverse company, its business model and revenue sources are expected to shift as well. Some potential ways it may monetize the metaverse include:
- In-app purchases – Users buy virtual goods for their avatars, virtual homes, etc.
- Platform fees – Take a percentage of transactions for virtual goods or services.
- Advertising – Targeted ads could appear in the metaverse similar to Facebook and Instagram.
- Hardware sales – Earn revenue from sales of VR headsets, AR glasses, and other devices.
- Subscription fees – Charge for premium metaverse app access and features.
- Commissions – Take commissions on virtual real estate, NFT transactions, financial transactions.
Monetizing a hypothetical open metaverse platform shared by many companies poses challenges Meta will need to figure out. But virtual goods, ads, hardware, and facilitating economic transactions appear to be early monetization avenues.
How will user data and privacy work in the metaverse?
Privacy and user data protection are major concerns that Meta will need to address as it builds out the metaverse vision. Some of the key considerations around data privacy include:
- Data collection – What user data will be collected from metaverse activities?
- Data security – How will sensitive user data like biometrics be safeguarded?
- Tracking – How will user tracking and targeting in the metaverse differ from current web practices?
- Disclosure – Will data practices be clearly disclosed to users?
- Regulation – What new laws and regulations may govern user data in the metaverse?
- User controls – How much control will users have over their data and privacy settings?
Meta claims user privacy and security are built into the metaverse platform by design. But concrete details are still emerging around how users’ virtual identities and data will be handled. This will likely be scrutinized by regulators as the metaverse evolves.
How has the tech industry reacted to Meta’s metaverse plans?
The tech industry’s reactions to Meta’s metaverse plans have been somewhat mixed:
- Investment – Many companies are investing in VR/AR technology to prepare for the potential metaverse.
- Partnerships – Some companies forge partnerships with Meta, while others develop competing visions.
- Acquisitions – Major acquisitions of VR companies as other tech giants stake metaverse claims.
- Criticism – Concerns raised about feasibility, privacy, addictiveness, and facilitating harmful behavior.
- Competition – Alternate visions of the metaverse from Microsoft, Nvidia, Epic, Roblox and others.
- Speculation – Rumored Apple headset suggests it may compete in metaverse space.
Overall there is broad tech industry acknowledgment that immersive digital worlds will expand in the coming years. But skepticism remains about Meta’s specific vision of an interconnected metaverse future dominated by one platform.
What challenges and obstacles does Meta’s metaverse plan face?
While Meta’s metaverse ambitions are grand, it faces a number of challenging obstacles:
- User adoption – Getting mass consumer adoption of VR/AR devices and digital worlds.
- Social concerns – Addressing concerns about addiction, privacy, moderation, misinformation.
- Regulation – Navigating emerging global regulations for virtual worlds.
- Competition – Many companies working on competing or interoperable metaverse platforms.
- Technology limitations – Advances still needed in VR/AR performance, interfaces, and connectivity.
- Transition from 2D – Design challenges moving social networks and interfaces into 3D.
- Toxic behavior – Moderating bad behavior that can arise in immersive environments.
These are just some of the tough challenges Meta will have to figure out along the multi-year journey toward realizing its ambitious metaverse vision. The scope of bringing such a massive project to fruition remains daunting.
Conclusion
Meta, formerly known as Facebook, has rebranded and reoriented itself around the concept of the metaverse – an immersive virtual world where people can interact using technologies like VR and AR. This represents a strategic shift focused on the future from the company’s social media origins. While Meta’s grand vision of an interconnected virtual world faces massive challenges, its metaverse efforts aim to transform how people engage with technology, with each other, and with information. The full scope and impact of this technological paradigm shift remains to be seen as Meta and other companies work to develop the building blocks of the metaverse in the coming years.