Why does Facebook need a CEO? A case study of Zuckerberg’s Facebook-Memory bet on the metaverse and the impact it has had on the tech ecosystem
Better laws could help to revive competition, restrain harmful behavior and even realize the potential of social media to strengthen American democracy rather than undermine it. In short, policymakers can ensure the question of who owns Twitter, or Instagram or TikTok, doesn’t matter quite so much.
Facebook burned through billions of dollars trying to make the metaverse happen. Elon Musk bought Twitter for $44 billion and plunged the company into chaos, sending advertisers and some power users fleeing. Silicon Valley has laid off tens of thousands of workers due to the economy.
Facebook CEO Mark Zuckerberg had renamed his company Meta to signal a new big bet on the metaverse, an immersive, virtual world he thinks is the future of the internet.
The co- founders of the platform, Jack Dorsey and Parag Agrawal, have been replaced by a new CEO. In a departure from its reputation, the company was launching new features and working to boost users and revenue.
WIRED World in 2023: The Rise of Social Media in the 21st Century and the Growing Demand for More Authenticity in Digital Life
But within months, the mood changed dramatically. The market for online advertising cratered when the global economy went through a lot of turmoil.
It is the first time that Facebook has seen a decline in users and sales. The company has lost about two-thirds of its market value this year. Other ad-dependent companies like Twitter, Google and Snapchat also felt the squeeze.
After giving in and taking control of the company in October, Musk slashed the workforce by over 50%, upended the site’s long-time rules, and released internal documents which appeared to be an attempt to discredit former President Donald Trump.
The next era of social media is likely to be defined by the connections and content that are scattered across many apps, according to some fundamental behavioral shifts.
Sayman said the race to copy TikTok is making social media apps more like TV networks, where a tiny fraction of creators make most of the content.
“There’s a shinier object in the social media space and it doesn’t involve your friends and what your friends are up to,” said Michael Sayman, an app developer who has worked at Facebook, Google and Twitter.
In 2023, we will see the explosive growth of a new breed of platforms that cater to this desire. Photo-sharing app BeReal, an Accel investment, already has a head start. Every day, the app encourages its users to “be real” by taking a quick picture of whatever they’re doing at random moments, using the front and back camera, allowing for more candid and genuine snapshots of everyday life. You can not view friends’ posts unless you post yourself and encourage usage in more candid environments. With no likes, followers, ads, or filters, BeReal is already winning over Gen Z, amassing more than 2.9 million users and 20 million downloads worldwide.
Disillusionment with the legacy social sites has also inspired a new crop of apps by and for conservatives, who feel their views are muzzled by Silicon Valley.
Regardless, it’s clear that in the coming year, social media will be redefined by its freshest and youngest users—and by their growing desire for more authenticity in their digital lives.
This story is from the WIRED World in 2023, our annual trends briefing. Read more stories from the series here—or download or order a copy of the magazine.
Also ad-free, Poparazzi is another sign of what’s to come. It discourages staged photos and edited pictures by only letting users post on each other’s profiles, not their own. Ninety-five percent of Poparazzi’s users are aged 14 to 21. These platforms do not encourage users to engage with irrelevant content and offer a stripped-back experience.