Is Meta the new Kodak? Eight history lessons on the necessity and risks of big innovation bets
Meta, the parent company of Facebook, is doing badly. The announcement of its poor results was very badly received by the stock market. The company lost 25% of its value in one day. The weakness of Facebook and the doubts about the relevance of the colossal investment made in the metaverse, a system creating a virtual world, question the strategy of the company. The weakness of the legacy activity, and the difficulty to launch a new activity, the situation of Meta is not unlike that of Kodak twenty years ago. A look at the history of the major bets made by companies to launch or renew themselves is useful to better understand the issues facing Meta and avoid hasty judgments.
(more…)