What's changing for Facebook?

Roland Lindner

Business correspondent in New York.

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First and foremost the name, but not the corporate structure.

The previous Facebook Inc. will become Meta Platforms Inc. The stock exchange abbreviation will be changed from “FB” to “MVRS” at the beginning of December.

Meta should also be established as a brand.

The group's “Virtual Reality” glasses are to be sold under “Meta” instead of “Oculus”.

The model “Oculus Quest” will be called, for example, “Meta Quest”.

The video conferencing device “Facebook Portal” is also to be renamed “Meta Portal”.

What will happen to Facebook?

Facebook will no longer define the group as before, but will only be one of many different products under the umbrella of Meta, albeit one that will continue to be very significant.

In principle, Facebook will be on a par with other platforms such as Instagram or WhatsApp.

Why is Facebook doing this?

Mark Zuckerberg says that Facebook is one of the most used products "in the history of the world" and an "icon", but it reflects less and less the breadth of the company.

Of course, Facebook's name has also become a mortgage and is closely linked to the many controversies surrounding the company.

Former employee Frances Haugen accuses the internet giant of doing too little to counter the damage caused by its platforms.

Why Meta of all places?

The new name is based on plans to develop a “metaverse”, a kind of virtual space that Zuckerberg describes as the “next generation of the Internet”.

Users should become part of the internet.

The term first appeared almost thirty years ago in the dystopian science fiction novel "Snow Crash" by Neal Stephenson.

Zuckerberg also said that he saw the Greek “meta” meaning “beyond” as a symbol that there are still many things to be developed.

How do you imagine the metaverse?

It's still vague, but Zuckerberg has given examples to bring the term to life.

Video games should feel as if everyone is in the same place.

In working life, virtual meetings should also convey the feeling that all participants are in the same room.

Is that more than a gimmick?

Facebook asserts that the metaverse is now the core of the strategy.

The company says it plans to invest billions in this area.

10,000 jobs are to be created in Europe to further the Metaversum effort.

Other prominent technology companies are also promoting the concept, such as the software group Microsoft, the semiconductor specialist Nvidia or the video game manufacturer Epic Games ("Fortnite").

What products is Facebook developing for the Metaverse?

Hardware and software: On the hardware side, these are primarily technologies related to virtual reality (“Virtual Reality”) and augmented reality (“Augmented Reality”).

Some products already exist, such as the VR glasses previously sold under Oculus.

The group has now also presented a new and more sophisticated model of glasses.

He recently brought out digital glasses together with the glasses brand Ray-Ban, which are said to be a forerunner for AR glasses.

On the software side, Facebook is working on various VR platforms such as "Horizon Worlds".

What will change for Mark Zuckerberg?

Nothing.

He says he wants to stay on as the company's CEO.

He also leads the board of directors and controls the majority of the voting rights.

Have other technology companies already renamed themselves?

Yes.

Google transformed into Alphabet Holding six years ago.

In contrast to Facebook, a new structure was associated with this.

Various futuristic activities such as autonomous driving technologies became independent units.

Admittedly, Google remains by far the most important subsidiary to this day.