Meta is trying to wrest control from Apple.
The company's multi-billion dollar effort to build the metaverse and its decision last year to rebrand from Facebook to Meta is a way to regain control of consumer data from Apple.
It's similar to why a company develops a product, but the key ingredient that made it a success is missing.
The change in Apple's privacy policy made it harder for Facebook to monetize its advertising.
Mark Zgutowicz, a Meta analyst at Benchmark, said that Apple has made Facebook's returns return to the mean because they removed a massive data source.
It could be a company threatening cost to Meta.
According to Laura Martin, the company's revenue is mostly from mobile devices. According to Meta's COO, Apple's new policy will result in $10 billion of lower revenue.
Martin wrote in a note to investors that Meta's goal is to replace Apple's smartphones in consumers' lives.
According to reports, the same reason was given for the creation ofAndroid more than a decade ago.
According to the book Dogfight, which was written by journalist and author Fred Vogelstein, in 2007, the first-iteration Android phone was scrapped just before it was to be launched and replaced by the first-generation iPhone.
According to Walter Isaacson's book, Steve Jobs, Apple's co- founder was incensed by the introduction ofAndroid, which he believed to be an illegal copy of theiPhone.
There was already proof of consumer demand for the product that Google was allegedly duping. After 74 days, Apple had sold 1 million of its first- generation iPhones.
In order to match Apple's operating system, the company continued to develop its platform. The company knows that people want a device that is easy to use.
The wager paid off. The world's leading mobile operating system is now called 'Android'.
Meta's pivot could be more dangerous because it's investing in a largely unexplored product.
There are no tangibles right now and it's a huge risk.
Analysts on Wall Street don't think Meta will succeed.
Will Meta be the winning hardware provider to consumers even if the Metaverse turns out to be a hardware-based vision? He asked in a note.
Under Apple's new privacy regime, building an entire virtual world from scratch would have cost Facebook billions of dollars in lost advertising revenue.
Since the beginning of last year, Meta has reported more than $19 billion in losses from its metaverse business unit, which has turned off many investors. The stock of Meta is down more than 70% this year.