The Future of Meta

The Future of Meta

2022-12-16 • Updated

Last year, a new old company was born. Back in October, Facebook’s CEO Mark Zuckerberg introduced Meta - a new company aimed to bring together apps and technologies under one new company brand.

Meta will focus on creating and developing the Metaverse – a network that combines the 3D virtual worlds and online social experiences. It will let you share your digital experiences with other people even when you can’t be together and do things together you couldn’t do in the physical world. Mark Zuckerberg pledged to spend $10 billion a year over the next decade on developing this new universe.

It may seem like this is an elegant way for Mr. Zuckerberg to clean his reputation after multiple antitrust complaints by the Federal Trade Commission. However, the FTC continues its lawsuit against Meta to push Meta to sell Instagram and Whatsapp. The commission blames Meta for anti-competitive conduct and potential manipulation of advertising sales.

Does Meta seem like a real deal right now? Let’s find out.

First of all, despite the updated brand, it did not provide any critical updates to any of its social media platforms. All the buzz around Meta seems as far as conquering Mars for now. For example, Meta has introduced hundreds of applications for patents related to its Metaverse and even announced plans to implement hyper-targeted advertising. One of these patents includes the avatar-personalization engine that uses biometric data. At the same time, Meta acknowledged that its patents don't necessarily cover the technology used in its products and services.

People’s opinions on the Metaverse currently depend on whether they view owning and operating a “digital self” through the lens of dystopia (“The Matrix”) or harmless fun (“Fortnite”). This fact limits the possibilities of Metaverse in the heads of regular people and makes it a sort of a game.

Secondly, some analysts also believe that the whole "Meta" thing is just an attempt to distract from lawsuits and leaked documents that the changes are profit-driven and won't bring any fundamental breakthrough.

Thirdly, the big rivals of Meta: Apple, Google, and Microsoft, are developing similar projects. For example, Apple is working on an AR/VR headset.

As a result, the main focus will remain on the good old Instagram. Instagram Reels, a look-a-like of TikTok, has been the key growth driver for engagement on the platform. This factor is especially crucial if you are going to trade on the upcoming earnings release of Meta on February 3. 

Now, the main question is: Will the stock of Meta rise?

In the short term, it can.

If we look at Meta's stock in the short term, we can see that it has been trading in a range since November. The rebranding did not excite buyers, and the main resistance for the stock remains at 350. The rise towards this level may happen after a swing from 310.  

In the longer term, there are huge uncertainties around a lawsuit and the future of the digital universe.

As a result, we can see levels below 300 within a year.

5544.png

Don't know how to trade stocks? Here are some simple steps.

  1. First of all, be sure you’ve downloaded FBS Trader app or Metatrader 5. FBS allows you to trade stocks only through this software.
  2. Open an account in FBS Trader or the MT5 account in your personal area.
  3. Start trading!

 

Similar

Stocks To Watch For March
Stocks To Watch For March

During his program on CNBC on February 28, Jim Cramer expressed frustration with the impact of earnings reports on market behavior, noting how they often prompt rash decisions by average investors. He criticized the short-term focus and lack of attention to nuance in news coverage of earnings. Cramer cited examples of Home Depot and Lowe's, highlighting how investors reacted hastily to headline news without considering the broader context provided in earnings calls.

Jingle Bulls: How Will The Santa Rally Impact Amazon And Apple?
Jingle Bulls: How Will The Santa Rally Impact Amazon And Apple?

As the year winds down and the festive spirit takes hold, the stock market often presents a curious yet anticipated phenomenon known as the Santa Rally. Within this whirlwind of festive trading, let’s look at how two titans of the tech world, Amazon and Apple, might fare during this unique season.

Latest news

USD: Powell Speaks on Cutting Interest Rates
USD: Powell Speaks on Cutting Interest Rates

Jerome H. Powell, the Federal Reserve chair, stated that the central bank can afford to be patient in deciding when to cut interest rates, citing easing inflation and stable economic growth. Powell emphasized the Fed's independence from political influences, particularly relevant as the election season nears. The Fed had raised interest rates to 5.3 ...

WTT: Currency Pairs To Trade In April
WTT: Currency Pairs To Trade In April

Hello again my friends, it’s time for another episode of “What to Trade,” this time, for the month of April. As usual, I present to you some of my most anticipated trade ideas for the month of April, according to my technical analysis style. I therefore encourage you to do your due diligence, as always, and manage your risks appropriately.

Deposit with your local payment systems

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera