October 29 (Reuters) – Shares of Meta Platforms Inc (FB.O) rose slightly in pre-marketing trading on Friday after social media giant Facebook rebranded to create a meta-universe, a shared virtual environment.
CEO Mark Zuckerberg said on Thursday that the new name reflects the company’s work invested in the metaworld, rather than its eponymous social networking service, which will continue to be called Facebook. read more
The rebranding came amid criticism from lawmakers about regulators of the company’s market power, algorithmic solutions and control over the misuse of its services. read more
Analysts expect that the meta-universe platform will create a better experience for consumers who use augmented and virtual reality technologies – from video game development to the use of glasses with smart eyes.
JPMorgan analyst Doug Anmouth said that while game creators are using the platform early, there is potential for virtual fitness, the workplace, education and others to join the rise.
“Similar to the current strategy with FB Family, we believe that the company plans to charge a minimum commission over time to maximize the creators’ economy,” Anmut added.
Meta-platforms rose 1% to $ 319.95 in the previous market after rising 4.3% on Thursday.
Shares of unrelated company Meta Materials (MMAT.O) rose 4.6% to $ 4.77 in pre-market trading on Friday. At the current share price, the Canadian company is now worth about $ 1.33 billion.
Siddhartha C report in Bangalore; writing by Tanvi Mehta; Edited by Sherry Jacob-Phillips
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