Meta Platforms shares rise as Facebook rebrands to focus on metaverse

Meta Materials

29/10/2021 09:56

Oct 29 (Reuters) - Shares of Meta Platforms Inc  FB.O  rose
marginally in premarket trading on Friday after social media
giant Facebook rebranded itself to build the "metaverse", a
shared virtual environment.
    Chief Executive Officer Mark Zuckerberg said on Thursday the
new name reflects the company's work invested in the metaverse,
rather than its namesake social media service, which will
continue to be called Facebook.  urn:newsml:reuters.com:*:nL1N2RO2HV
    The rebranding comes in the wake of criticisms from
lawmakers to regulators over the company's market power,
algorithmic decisions and the policing of abuses on its service.
 urn:newsml:reuters.com:*:nL1N2RJ0HD
    Analysts expect the metaverse platform to create a better
experience for consumers using augmented and virtual reality
technology - from developing video games to using smart-eye
glasses.
     J.P.Morgan analyst Doug Anmuth said while game creators are
early adopters of this platform, there is potential for virtual
fitness, workplace, education and others to join the bandwagon. 
    "Similar to its current strategy with FB Family, we believe
the company plans to charge minimal fees over time to maximize
the creator economy," Anmuth added.
    Meta Platforms rose 1% to $319.95 in premarket trading,
after gaining as much as 4.3% on Thursday.
    Shares of Meta Materials  MMAT.O , an unrelated company,
rose 4.6% to $4.77 in pre-market trading on Friday. The Canadian
company is now worth about $1.33 billion, as of current share
price.

 (Reporting by Siddarth S in Bengaluru; writing by Tanvi Mehta;
Editing by Sherry Jacob-Phillips)
 ((Siddarth.s@thomsonreuters.com;))