Meta’s metaverse-related losses topped $3.74 billion over the second quarter with the Big Tech player spending $7.7 billion on its virtual reality business so far in 2023.
Its second-quarter results released on July 26 saw Meta report an 11% revenue gain compared to the previous year, totaling $31.9 billion. Its metaverse-focused Reality Labs revenue topped $276 million.
Reality Labs’ operating losses are set to increase through 2023, Meta said. It cited product development efforts in virtual reality and further investments in to its metaverse as the reason for the losses extending.
In Q1 2023, Meta reported Reality Labs losses at $3.9 billion for the quarter while bringing in $339 million in revenue.
Meta’s stock price jumped on the earnings and is up over 7% in after hours trading to around $320 according to Google Finance data. Meta shares have gained nearly 140% year-to-date but are still off from their September 2021 all-time high of over $378.