This archive report was first published on 20 October 2021.
Facebook Inc, under fire from regulators and lawmakers over its business practices, is planning a major rebranding effort. The company, which has been investing heavily in virtual reality and augmented reality, will reportedly change its name to focus on the metaverse, a digital world where people can move between different devices and communicate in a virtual environment.
The move, which will be announced next week, is seen as a way for Facebook to position its flagship app as one of many products under a parent company overseeing brands such as Instagram and WhatsApp. This structure is similar to that adopted by Google when it reorganized into a holding company called Alphabet in 2015.
Facebook's Chief Executive Mark Zuckerberg has been talking up the metaverse since July, and the company has made significant investments in virtual reality and augmented reality technologies. The metaverse has become a buzzword in Silicon Valley, with other tech firms such as Microsoft referencing it in their discussions.
However, the rebranding effort comes at a time when Facebook is under wide-ranging scrutiny from global lawmakers and regulators over its content moderation practices and harms linked to its platforms. The company is facing a U.S. Senate hearing this week, which is based on internal documents leaked by a whistleblower.
