Meta Needs to Slash Metaverse Spending to ‘Get Mojo Back,’ Shareholder Says
An exhibitor demonstrates an Oculus Quest 2 virtual reality headset.
Photographer: Bing Guan/BloombergThis article is for subscribers only.
About a year after Facebook changed its name to Meta Platforms Inc. to highlight its new focus on the metaverse, long-term shareholder Altimeter Capital Management has called on the company to rein in its spending on the bet.
Meta has lost focus and its shares are underperforming peers, Brad Gerstner, chief executive officer of the investment firm, wrote in a blog post. The firm holds 2.5 million shares representing 0.11% of outstanding stock, Bloomberg data show. Meta shares dropped 3.4% to $125.62. in New York on Monday morning. They are down 63% this year, compared with a drop of about 30% in the Nasdaq 100 Index.