With the introduction of the new Meta Quest Pro headset, Mark Zuckerberg is back to throw the pits in Cupertino’s direction, first criticizing Apple’s closed ecosystem against the open, interoperable metaverse that Meta wants, and now instead the social networking CEO believes Apple is making users pay more as much as possible for its hardware, while Meta is willing to sell its viewers at cost or even a slight loss to support the proliferation of virtual reality and now the metaverse.
Basically, Zuckerberg is attacking Apple’s strategy on all fronts: first the technology and platform, now with pricing and market strategy. For the CEO of the social giant, interviewed in a podcast published by Business Insider, it’s common for hardware companies to generate profits and margins on the products they sell. But he says Apple is an exception because it charges consumers as much as possible.
“I think the business model is going to be disruptive, where people usually build hardware and try to make a profit, whereas if you’re Apple, you build hardware and get as much money as you can for it.”
On the contrary, Meta is ready to reduce its profit margins, just cover costs and break even, and even sell with a slight loss. In this way, the company supports the spread of virtual reality and metaverses, including the largest number of people, while revenue and sales of Meta will come from software and services.
“I think having someone go into the space and basically say, ‘We’re going to build the best hardware in the business and sell it pretty much at breakeven and in some cases, maybe even with a slight loss in order to basically help grow the ecosystem with the business model you’re coming in’ Revenues are mainly from programs and services.
In Zuckerber’s mind, this is a Meta strategy that aligns with the mission of Facebook and its social networks, namely, Connecting People: To build a social experience, people are needed, and Meta is willing to do anything to engage them.
The first Apple headset is expected in early 2023 or early next year.