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Ask HN: Why is the Metaverse/Quest R&D so expensive?

4 points by alban23 ↗ HN
While I like my Quest 2 a lot and enjoy Horizon Workrooms much more than Zoom meetings, I have a genuine question: Why is the development of it all so expensive?

From what I understand they spent around $3.672 Billion on it in the last quarter alone. It’s such a mind-baffling amount.

Is it the hardware development or the software? A developer/scientist will not cost on average more than 100k per quarter (not year) even in the US, right? So for a billion you can hire 10k people. What am I missing? Where is all that money going?

3 comments

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Comevius
Is that a lot? If I put up a lemonade stand with an app that sets me back by 10 to 50 million dollars between the developers, the designer, the accountant, product specialist, packaging, delivery, manufacturing, QA, HR, support, legal, marketing, advertising expenses, legal fees, permits, processing fees, insurance, equipment, maintenance, utility expenses, employee benefits, business meals and travel expenses. The list just goes on. Just to sell lemonade on the internet.
beardyw
Rather than slowly disintegrate Meta have bet the farm on this. I think it's a mistake but I have been around long enough to allow I might be wrong. Sadly I don't think throwing money at it like this will make it a success.