Tinder no longer shows any willingness to venture into the much-maligned field of virtual reality, as it records an operating loss of $ 10 million in its last financial quarter. Earlier this year, Match Group acquired South Korean company Hyperconnect for more than $ 1.7 billion. Although the CEOs of Math Group at the time had some consideration for the components of web3, Tinder will not be part of the metaverse for the time being. Why this decision not to advance further into the metaverse? In any case, many are those who experience a real disappointment because of Tinder.
An explanation that makes sense
It’s no surprise to see Tinder give up on the metaverse right now. A quarterly loss of $ 10 million is bad enough, but it’s even worse than the $ 210 million in pre-tax earnings the company posted this time last year. This decline, however, isn’t entirely attributable to investments like Hyperconnect, even though it’s still a hot industry.
Despite the general public return to normal in the months following the Covid-19 blockade, the ability of dating companies like Tinder to attract new users has not returned to pre-pandemic levels, according to Kim. Those who downloaded Tinder before the pandemic still make up the majority of the app’s users, and it’s already clear that metaverse features can’t be implemented quickly enough to fix Match Group’s immediate problems.
There is still hope
Match Group’s withdrawal from the metaverse comes at a time when enthusiasm for the web3 and the metaverse is showing some signs of cooling. Bloomberg reports that job postings with the term “metaverse” in the job title fell 81% between April and June. Additionally, Mark Zuckerberg, CEO of Meta, warned that the company’s metaverse project will lose “significant” money in the coming years and that some products will not be ready for 15 years.
Match Group is part of a growing list of companies trying to balance today’s reality, including inflation and a possible recession, with the promises of the future of the metaverse. According to officials, Tinder may consider integrating the metaverse at the right time. In fact, for now, they find no interest or insight into the metaverse. However, if things change and technological advances and opportunities present themselves, Tinder could be back in the race to the web3.
Despite all the dramatic talk about the potential social and commercial implications of the metaverse, it is difficult to move forward when the concept itself remains vague and difficult to present as something marketable to the general public. Even so, Tinder’s parent company is eager to follow the trend if everything works, however, you shouldn’t expect Tinder to have a dedicated app in the metaverse.
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