The social media giant also missed earnings expectations for the second quarter.
The company’s performance narrowly missed the $28.9 billion that analysts surveyed by Thomson Reuters had expected.
Meta earned $2.46 per share, missingexpectations of $2.56 per share.
Advertisers are pulling back amid growing concerns that the world economy could enter a recession.
A strong dollar weighs on the value of overseas revenue.
And marketers question the effectiveness of ads becauseApplenow allows users of its products to opt out of tracking.
Meta has trimmed costs and frozen some hiring to offset the revenue challenges.
The company’s expectations for the third quarter were also lower than analysts expected.
But investing in products such as virtual reality headsets and video chat devices isn’t cheap.
The tech giant’s metaverse business lost $2.8 billion in the second quarter.
On Tuesday, the company said it will raise theprice of its Quest 2 headsetsby $100 in August.
Meta still makes most of its money by selling ads on Facebook and its photo- and video-sharing app Instagram.
But as Facebook and Instagram make changes to compete with TikTok, that’s upsetting some of its users.
Instagram has been testing a full-screen feed that looks more like TikTok.
Zuckerberg said the company is still focused on helping people connect with friends and family.
The company is also making more leadership changes.
She will remain on the company’s board of directors.
Meta’s stock dropped by more than 4% in after-hours trading to $161.86 per share.
