Zuckerberg: Apple 'Charges As Much As It Can' for Hardware, But Meta Is Willing to Sell at a Loss to Grow the Metaverse

[lysingur]

Facebook got one thing right on their own or at least successful, that was Facebook itself.

All the rest has been riding on purchasing the ascending trend, they did it with Instagram, and they did it with WhatsApp.

They failed with Snapchat (which nowadays looks itself not well) and TikTok.

In the end they are just throwing money around trying to find the next hit. And they look somewhat clueless.

Throwing things and seeing which ones stick is essentially how most tech billionaires made their fortunes. You become rich either by being very lucky and getting things right the first few tries or by being able to afford to fail more times than your competitors. Your last line actually says more about you being clueless about Silicon Valley than Meta being clueless about what a successful product is.

Most people on planet Earth can't even get their first Facebook right.

 

[rp2011]

Subsidizing its products to gain marketshare. You only do that when you do not think people want your products and you can afford to lose a ton of money. That Is another example of why Apple is doing so well. It has never never been dependent on another company or advertising like Intel with Windows to make money. Or using your personal information like Google or Facebook to make money. It has always been about people actually wanting their products and customers WILLING to pay extra for the things they want.

 

[Elijen]

It's just a different business model, not charity.

 

[neuropsychguy]

I’m sure all Meta investors will love to hear this.

If selling hardware at a loss or a lower profit drives Meta’s main source of income — ads — then investors will like this.

 

[Strebor]

Paying $1500 to have a device strapped to your face that now also tracks your emotions.
NOPE. I would not wear it if he paid me $1500.

 

[Arbuthnott]

Zuckerberg said Meta will take a different route with its portfolio of hardware products, and claimed his company may make no profit from some of its sales and will instead rely on revenue generated by software and services offered in the metaverse.

The question is how much I would be willing to pay in order to prevent Zuckerberg from invading my privacy? Probably a lot more than the extra that Apple would charge for their AR/VR hardware. It’s disgusting how he tries to make a virtue of the way he is going to try to profit from his users, as though that had more merit than a clean sale of hardware with no strings.

 

[Lee_Bo]

Zuck off, Mark.

 

[timber]

Throwing things and seeing which ones stick is essentially how most tech billionaires made their fortunes. You become rich either by being very lucky and getting things right the first few tries or by being able to afford to fail more times than your competitors. Your last line actually says more about you being clueless about Silicon Valley than Meta being clueless about what a successful product is.

Most people on planet Earth can't even get their first Facebook right.

There is a difference between investing and throwing money at the wall.

The future will be enlightening.

 

[Nozuka]

When you buy something as so cheap or it's free, you're the product.

Not always true. The product they make money on can be something else. A service, software (gaming consoles for example), "consumables" (coffee capsules, printer cardridges...) ... etc.

 

[Kylo83]

For 1500 you still need to spend another 50 to hide the light bleed into the display, what a joke

 

[lysingur]

There is a difference between investing and throwing money at the wall.

Not in Silicon Valley. Everywhere else, maybe.

 

[Harvey Zoltan]

You can subsidise the product as much as you like but you still need to give the majority of people a compelling reason to put one of these things on their head. I think it's going to a tough sell for any company.

 

[BvizioN]

2 completely different business platforms.
Apple sells hardware and services
Meta sells data it collects from it's users.

 

[Onelifenofear]

"Apple Charges As Much As It Can' for Hardware, But Meta Is Willing to Sell at a Loss to Grow the Metaverse"​

Or...​

"Apple Sells Products with Privacy, Meta Sells you"​

​

​

 

[CornBeef4]

LOL the comments here just prove Zuckerberg's right. All you emotionally attached sheep justifying Apple for selling you stuff is ridiculous. This is why Apple will never change and always make money off of you.
They know they have their fans buying the same product at any price only so they could sleep with the Apple sticker on their pillows

 

[iAFC]

I do think that having someone come into the space and basically say, "We're going to build the best hardware in the space and we're going to basically sell it at a break-even point and in some cases, maybe even slightly at a loss in order to basically help grow the ecosystem with the business model of basically having the revenue come through software and services", that business strategy I think is aligned with the mission of basically connecting people and having people there because if you want to build a social experience, you have to have the people there.

Basically, Zuck loves to say basically!

 

[Powerbooky]

Zuckerberg:
I think the business model will be disruptive, in that it's typically people build hardware and they try to make a profit off of it, where if you're Apple, you build hardware and you charge as much as you can for it. I do think that having someone come into the space and basically say, "We're going to build the best hardware in the space and we're going to basically sell it at a break-even point and in some cases, maybe even slightly at a loss in order to basically help grow the ecosystem with the business model of basically having the revenue come through software and services", that business strategy I think is aligned with the mission of basically connecting people and having people there because if you want to build a social experience, you have to have the people there.

Man... what a load of s***!

LOL the comments here just prove Zuckerberg's right. All you emotionally attached sheep justifying Apple for selling you stuff is ridiculous. This is why Apple will never change and always make money off of you.
They know they have their fans buying the same product at any price only so they could sleep with the Apple sticker on their pillows.

Not really. The "business model" Zuckerberg is referring to, is not uncommon and it obviously works for Apple. He's just complaining like any CEO does with (bad) media training. Its a pretty cheap and easy attempt to divert the bad attention Meta gets nowadays.

 

[JosephAW]

Zuck must have seen a leak of the Apple device and is in panic mode.

 

[Le0M]

I think zuk hasn't understood what Apple is focusing on, which is not metaverse, but AR.
He wants us to disconnect from reality entirely, Apple just wants to enhance reality. Big difference.

 

[senttoschool]

Based on rumors Apple's headset is currently shaping to be the highest tech one. With the best displays and sensors. Not to mention - this is Apple. It will be expensive at first, but Apple will eventually become leader in AR/VR due to their ecosystem and the many developers that will develop apps for their store.

Apple also was late to the party but the AirTags are currently the most popular tracking devices.

Apple TV is by far, the highest-tech TV stick. Not even close. But it did not win. Homepod was by far, the most advanced smart speaker in hardware. It did not win. Both were part of Apple's ecosystem with similar APIs for developers.

It remains to be seen just how much better Apple's headset is and how much it costs. After all, if it costs $3,000 and it's not $1,500 better than Meta's, then it won't win.

 

[jonzoidberg]

Zuck should go study economics.

 

[madebybela]

keep burning money zuck, no one will ever care about the "metaverse"

 

[1557750]

We don’t want the money from your bank account. We make enough off your data.

And now we just want your soul.

 

[ikir]

It's true. It's why Apple lost in the TV streaming stick market and in the smart speakers market. Other companies were willing to sell at break even or low margins or even at a loss in order to make money through other ways.

It'll be tough for Apple to win in the VR market unless its devices are significantly superior.

AppleTV+ is a great service, quality takes times to gain market but it is working. I quit Netflix

 

[helena_eagan]

Zuckerberg: Apple 'Charges As Much As It Can' for Hardware, But Meta Is Willing to Sell at a Loss to Grow the Metaverse Track as many people as possible​

Fixed it for you…

He's charging as much as he thinks he can too... the difference is that it's just not profitable.