Despite suffering a net loss of about $3.7 billion in the second quarter, Meta's Reality Labs unit remains committed to its metaverse ambitions. The unit, which includes augmented reality, virtual reality, and the company's metaverse software platform, has been incurring significant losses in recent quarters, with a net loss of $13.7 billion in 2022 and nearly $4 billion in the first three months of 2023.

Meta expects its operating losses to increase year-over-year due to ongoing product development efforts and investments to scale its ecosystem. However, Meta's "Family of Apps" segment, which includes Facebook, Instagram, Messenger, WhatsApp and other services, more than offset the Reality Labs loss, posting income of nearly $13.1 billion in the second quarter.