Meta Working to Speed Up Metaverse, but Success Far from Certain

This file photo illustration taken on October 28, 2021, in Los Angeles, shows the Facebook-like logo on a smartphone in front of a computer screen showing the parent company META logo. (AFP)
This file photo illustration taken on October 28, 2021, in Los Angeles, shows the Facebook-like logo on a smartphone in front of a computer screen showing the parent company META logo. (AFP)
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Meta Working to Speed Up Metaverse, but Success Far from Certain

This file photo illustration taken on October 28, 2021, in Los Angeles, shows the Facebook-like logo on a smartphone in front of a computer screen showing the parent company META logo. (AFP)
This file photo illustration taken on October 28, 2021, in Los Angeles, shows the Facebook-like logo on a smartphone in front of a computer screen showing the parent company META logo. (AFP)

A year after rebranding itself from Facebook into Meta, the social network titan is striving to make the metaverse a routine part of daily life, offering users new features and promoting new virtual reality gear.

But analysts say the company has toned down the hype a bit as it struggles to reach its goal of creating an interactive virtual world that it sees as the next phase of online activity, AFP said.

The biggest announcement from this week's Meta Connect event -- the company's giant's annual conference focused on virtual reality -- was the launch of the much anticipated Meta Quest Pro VR headset, targeted at professionals in creative fields.

But there were also legs -- as in, legs for user avatars in Meta's Horizon World virtual realm, as well as facial expressions.

Is this the future? The company says yes.

"The metaverse is going to sneak up on us," Meta Reality Labs vice president Mark Rabkin predicted.

"I think it's going to feel really far away and then there'll be certain pockets and niches that are suddenly really useful -- and then we'll realize that the gaps... are getting smaller, and suddenly it's here."

For Rabkin, executives can save time and money by meeting in the metaverse, and artists can embrace virtual venues for concerts, comedy shows and other entertainment.

Bridges, skyscrapers, footwear and more could be designed in 3-D using digital tools in the metaverse.

"We're building things that power the metaverse and will be part of the metaverse," Rabkin said.

"We are investing heavily to pull the future forward a little bit."

- Smiles and nods -
A year ago, Facebook renamed itself Meta to signal its devotion to a metaverse future.

In a small step on that path, the $1,500 Quest Pro headset -- aimed at architects, engineers and designers, among others -- boasts new features that are meant to improve users' perception of actually being in the presence of others.

"The moment that they begin to break into a smile or when they raise their eyebrow... your avatar should be able to express all of that and more," Meta chief Mark Zuckerberg said at Meta Connect.

The company said it is partnering with Microsoft, Adobe, Accenture and others to sync up popular work software with virtual worlds using Quest Pro.

"At Microsoft, we're incredibly excited about the metaverse and how digital and physical worlds are coming together," Microsoft CEO Satya Nadella said during the presentation.

Microsoft is "really leaning in" to make its widely-used productivity software, as well as tools built for its own HoloLens augmented reality headset, compatible with Quest Pro, according to Rabkin.

Zuckerberg stressed that Meta wants its VR platform to dovetail with offerings from other companies.

"Not only will our stuff run on a variety of devices, including not our own, but there will inevitably be multiple universes joined together in a variety of ways," Rabkin explained.

Technical advances built into Quest Pro are expected to eventually be incorporated into lower-priced headsets destined for average consumers.

- Handling the hype -
Zuckerberg was quoted by tech news website The Verge as saying he didn't expect the metaverse to make the company a meaningful amount of money for years, setting up a "trough of disillusionment."

For Creative Strategies analyst Carolina Milanesi, Meta has de-emphasized the hype of the metaverse in favor of talking more about the nuts and bolts of how it will work.

"I'm assuming it's because they figured out how hard it is to actually make this stuff in terms of actually creating that world," Milanesi told AFP.

Companies are investing billions of dollars in building blocks of the metaverse, with Meta leading the pack, VRDirect managing director Rolf Illenberger told AFP.

Microsoft, Sony, and HTC are among the players, and Apple is rumored to be planning to release its own virtual reality headset.

"On the one hand, Mark Zuckerberg needs to be acknowledged as a hero, as a visionary because he's pushing the industry like no one else," Illenberger said.

"But on the other hand, his bad reputation also kind of, to some extent, puts blame on the metaverse as a technology."

Critics have said rebranding Facebook as Meta was a move to distance the tech firm from scandals including a whistleblower who said it valued profit over user safety.



AI to Track Icebergs Adrift at Sea in Boon for Science

© Jonathan NACKSTRAND / AFP
© Jonathan NACKSTRAND / AFP
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AI to Track Icebergs Adrift at Sea in Boon for Science

© Jonathan NACKSTRAND / AFP
© Jonathan NACKSTRAND / AFP

British scientists said Thursday that a world-first AI tool to catalogue and track icebergs as they break apart into smaller chunks could fill a "major blind spot" in predicting climate change.

Icebergs release enormous volumes of freshwater when they melt on the open water, affecting global climate patterns and altering ocean currents and ecosystems, reported AFP.

But scientists have long struggled to keep track of these floating behemoths once they break into thousands of smaller chunks, their fate and impact on the climate largely lost to the seas.

To fill in the gap, the British Antarctic Survey has developed an AI system that automatically identifies and names individual icebergs at birth and tracks their sometimes decades-long journey to a watery grave.

Using satellite images, the tool captures the distinct shape of icebergs as they break off -- or calve -- from glaciers and ice sheets on land.

As they disintegrate over time, the machine performs a giant puzzle problem, linking the smaller "child" fragments back to the "parent" and creating detailed family trees never before possible at this scale.

It represents a huge improvement on existing methods, where scientists pore over satellite images to visually identify and track only the largest icebergs one by one.

The AI system, which was tested using satellite observations over Greenland, provides "vital new information" for scientists and improves predictions about the future climate, said the British Antarctic Survey.

Knowing where these giant slabs of freshwater were melting into the ocean was especially crucial with ice loss expected to increase in a warming world, it added.

"What's exciting is that this finally gives us the observations we've been missing," Ben Evans, a machine learning expert at the British Antarctic Survey, said in a statement.

"We've gone from tracking a few famous icebergs to building full family trees. For the first time, we can see where each fragment came from, where it goes and why that matters for the climate."

This use of AI could also be adapted to aid safe passage for navigators through treacherous polar regions littered by icebergs.

Iceberg calving is a natural process. But scientists say the rate at which they were being lost from Antarctica is increasing, probably because of human-induced climate change.

 


AMD Predicts Weaker First-Quarter Sales, Shares Plunge on Nvidia Comparisons

An AMD logo and a computer motherboard appear in this illustration created on August 25, 2025. (Reuters)
An AMD logo and a computer motherboard appear in this illustration created on August 25, 2025. (Reuters)
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AMD Predicts Weaker First-Quarter Sales, Shares Plunge on Nvidia Comparisons

An AMD logo and a computer motherboard appear in this illustration created on August 25, 2025. (Reuters)
An AMD logo and a computer motherboard appear in this illustration created on August 25, 2025. (Reuters)

Advanced Micro Devices on Tuesday forecast a slight decline in quarterly revenue, raising concerns about whether it ​can effectively challenge Nvidia in the booming AI market and sending its shares tumbling 8% in after-hours trade.

The lackluster prediction comes despite an unexpected boost from sales of certain artificial intelligence chips to China, which began in the last quarter after the Trump administration approved a license for orders that AMD received in early 2025.

And without those sales to China which generated $390 million, AMD's data-center segment would have missed estimates for the fourth quarter.

AMD said it expects revenue of about $9.8 billion this quarter, plus or minus $300 million. That's down from $10.27 billion in the fourth-quarter which was up 34% year-on-year and ahead of LSEG ‌estimates for $9.67 billion.

PALES ‌NEXT TO NVIDIA

Though AMD is seen as one of the ‌few ⁠contenders ​that can seriously ‌challenge Nvidia, investors noted the stark contrast between the two companies' performances. AMD expects an adjusted gross margin of 55% this quarter. Nvidia has said it expects adjusted gross margin in the mid-70% range during its fiscal 2027.

"The expectations for large blowout quarters for AI-related hardware companies have skewed what the market is looking for," said Bob O'Donnell, president of TECHnalysis Research.

The forecast for the current first quarter includes $100 million from sales to China, where the situation remains "dynamic," AMD CEO Lisa Su said on a conference call with investors.

The US government ⁠has placed restrictions on the exports of advanced chips to China, but AMD received licenses to sell modified versions of its MI300 series ‌of AI chips there. Its MI308 chip competes with Nvidia's H20 ‍chip in China.

OPENAI SALES

AMD has accelerated its ‍product launches and is moving into selling full AI systems to better compete against Nvidia, which now ‍provides "rack-scale" systems that combine GPUs, CPUs and networking gear.

Last year, it entered into a multi-year deal to supply AI chips to ChatGPT-owner OpenAI, which would bring in tens of billions of dollars in annual revenue and give the startup the option to buy up to roughly 10% of the chipmaker.

Su reiterated on Tuesday that the company ​expects sales of a new flagship AI server to OpenAI and others to rise rapidly in the second half of this year, saying a global memory-chip crunch will not ⁠slow its plans.

"I do not believe that we will be supply-limited in terms of the ramp that we put in place," Su said.

BEYOND OPENAI

As Big Tech and governments across the globe double down on investing in AI hardware, shares in Santa Clara, California-based AMD have doubled since the start of 2025, outperforming a 60% bump in the broader chip index.

But analysts remain concerned that AMD's success remains tied to a handful of customers that rivals such as Nvidia could try to poach. Reuters reported this week that Nvidia made a $20 billion move to hire most of chip startup Groq's founders after OpenAI held chip supply discussions with the startup.

"Growth appears concentrated in large deployments and specific regions, and China shipments are significant enough to influence a quarter," said eMarketer analyst Gadjo Sevilla.

Revenue in AMD's key data-center segment grew 39% to $5.38 billion in the ‌fourth quarter. But excluding sales of the MI308, which is a data-center chip, that revenue would have been $4.99 billion, below estimates of $5.07 billion.


Switch 2 Sales Boost Nintendo Results but Chip Shortage Looms

This photo taken on November 4, 2025 shows a woman taking photos of a Super Mario figure at the Nintendo Tokyo store in Tokyo. (AFP)
This photo taken on November 4, 2025 shows a woman taking photos of a Super Mario figure at the Nintendo Tokyo store in Tokyo. (AFP)
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Switch 2 Sales Boost Nintendo Results but Chip Shortage Looms

This photo taken on November 4, 2025 shows a woman taking photos of a Super Mario figure at the Nintendo Tokyo store in Tokyo. (AFP)
This photo taken on November 4, 2025 shows a woman taking photos of a Super Mario figure at the Nintendo Tokyo store in Tokyo. (AFP)

The runaway success of the Switch 2 console drove up Nintendo's net profit by more than 50 percent in the nine months to December, the Japanese video game giant said Tuesday.

But a global memory chip shortage, created by frenzied demand for artificial intelligence hardware, could push up manufacturing costs.

The Switch 2 became the world's fastest-selling games console after launching to a fan frenzy last summer.

It is the successor to the original Switch, which soared in popularity during the pandemic when games such as "Animal Crossing" struck a chord during long lockdowns.

Both are hybrid devices that can be connected to a TV or used on-the-go.

In April-December, net profit jumped 51.3 percent year-on-year to 358.9 billion yen ($2.3 billion), and revenue nearly doubled on-year to 1.9 trillion yen, Nintendo said.

But the firm kept its annual unit sales target for the Switch 2 steady at 19 million, and also held its full-year net profit forecast of 350 billion yen.

"Nintendo Switch 2 got off to a good start following its launch on June 5 and unit sales continued to grow through the holiday season," the company said.

Nearly 17.4 million Switch 2 devices were sold in the nine-month period, it added.

"Maintaining momentum is certainly a big focus for Nintendo," Krysta Yang of the Nintendo-focused Kit and Krysta Podcast told AFP.

A lack of heavy-hitting first-party new games for the Switch 2 in coming months risks hindering growth, although third-party titles such as "Resident Evil Requiem" should help fill the gap, she said.

Nintendo said Tuesday it planned to release "Mario Tennis Fever" this month and "Pokemon Pokopia" in March.

While the firm is diversifying into hit movies and theme parks, consoles remain the core of its business.

The Switch 1 has now sold 155.37 million units -- overtaking the Nintendo DS console to be its best-selling hardware of all time.

But soaring prices for memory chips, used in gaming consoles as well as phones, laptops and other electronics, will likely be a headwind for the company.

Their prices have been pushed up as chipmakers focus on producing the advanced memory chips in huge demand to power AI data centers.

"Nintendo and other console manufacturers are publicly keeping quiet about the impact of the shortage," gaming industry consultant Serkan Toto told AFP.

But "users can forget the past when consoles always became cheaper in tandem with component costs falling over time", with price hikes potentially on the way in 2026, he said.

Yang said she thought a price increase for the Switch 2 "is not out of the question" but added that Nintendo "would likely exhaust all other options" before doing so.