Meta Admits VR/AR Business Unit Lost A Lot Of Money Over The Last Six Months

JAKARTA - Meta admits that the units developing Virtual Reality (VR) and Augmented Reality (AR) technologies, namely Reality Labs, experienced quite a sharp operational loss.

Reality Labs only recorded 276 million US dollars (Rp4.1 trillion) in the second quarter (Q2) which fell from its revenue in Q1 of 339 million US dollars (Rp 5.0 trillion).

Analysts previously projected sales to be made of around $421 million and operating losses of US$3.5 billion (Rp52.5 trillion).

It happened before the company launched its new VR headset, Quest 3 which will be released this fall. Meta said in its earnings report it did expect operating losses at its Reality Labs to increase significantly from year to year (YoY).

"For Reality Labs, we expect operating losses to increase significantly from year to year due to our sustainable product development efforts in augmented reality/virtual reality and investment to further improve our ecosystem," said Meta.

Meta said it would continue to invest in the most exciting opportunities, including Artificial Intelligence (AI) and the metaverse, as quoted by CNET and CNBC International, Thursday, July 27.

Previously, Meta had announced a Virtual Reality (VR) subscription service dubbed Meta Quest +. With this, users will have access to two new games each month.

Users who want to subscribe have to spend 7.99 US dollars (IDR 119 thousand) per month or 59.99 US dollars (IDR 899 thousand) per year.

"Now you can explore less and play more with Meta Quest+, your new VR subscription service," Meta said.

Available from today, the service can be used for Quest 2 and Quest Pro headsets, and is also compatible with Quest 3 when it launches later this year.

After subscribing, Meta Quest+ will provide access to two selected VR game titles on the first day of each month.

Image Credit: Quest 3/dok Headset. Meta