The best Xbox games for 2023

A series of missteps put Microsoft in second place before the Xbox One even came out. With the launch of the Xbox Series X and S, though, Microsoft is in a great position to compete. Both are well-priced, well-specced consoles with a huge library of ga…

How Meta flunked its first year as a metaverse company

A year ago, Meta was riding high on the metaverse. The company had just completed its rebranding from Facebook to Meta. Social networks, as Mark Zuckerberg explained, were no longer a singular focus for the company. “From now on, we’re going to be metaverse-first, not Facebook first,” he said.

Now, as Meta finishes its first full year as a “metaverse company,” the outlook is considerably less rosy. The company has lost billions of dollars on Reality Labs, the division overseeing its metaverse work. Its stock has cratered. The company has, for the first time, shed thousands of employees in mass layoffs. Even longtime shareholders are starting to do what was once unthinkable: question Zuckerberg’s vision for the future.

At the same time, Meta still hasn’t clearly articulated what the metaverse is or effectively made the case for why the billions of people currently using its social media apps would want to be part of an “embodied internet.” Worse still, the company’s initial metaverse product has proved underwhelming, and turned the metaverse into a punchline, rather than a source of anticipation.

We still don’t know what the metaverse is for

Meta and Zuckerberg have offered various definitions over the last year. The metaverse is the “successor to the mobile internet,” and “an embodied internet where you’re in the experience.” It’s virtual reality, but also (eventually) augmented reality. It will also, somehow, tie into our existing social graphs on Facebook and Instagram. But, unlike Facebook and Instagram, it will be interoperable with other companies’ platforms. It might have something to do with NFTs and web3.

“The defining characteristic of the metaverse is that you really feel like you’re present with other people or in another place,” Zuckerberg said during an interview at SXSW in February. “You might look at documents, you might look at a website but in the future you’re going to be in it.”

Zuckerberg might think this is explaining the beginnings of some grand vision for a future internet, but it also just sounds a lot like plain old virtual reality. Moreover, it’s telling that one of his go-to examples is “looking at documents.” Over the last year, the company has leaned hard into Horizon Workrooms, its social VR experience geared toward office workers.

Meta's is integrating Zoom and Microsoft Teams into VR meetings with Horizon Workrooms.
Meta

When the company showed off its new high-end Quest Pro, it offered up Horizon Workrooms as one of the key experiences optimized for the new headset. You can now recreate a whole virtual workspace in VR. Soon, you’ll be able to use a slew of office and productivity software, from Zoom to Microsoft Word.

But the idea of working in VR with a headset strapped to your face is still pretty far from appealing to most people. And there are a vanishingly small number of jobs and industries where working in VR is even remotely justified.

Perhaps what’s most telling is that Meta has apparently struggled to persuade its own employees to use Workrooms. Despite making Quest 2 headsets free to all employees last year, a recent push from Zuckerberg for teams to start holding meetings in VR revealed that many either hadn’t taken advantage of the offer or hadn’t set the headset up, The New York Timesreported.

Meta’s metaverse is a meme for bad graphics

Without a clear vision, it became far too easy for Meta’s critics to seize on aesthetic issues and other problems. For now, the closest thing Meta has to the “metaverse” is Horizon Worlds, its social VR playground where users are free to explore as their avatar. But the experience of actually using it is far different than the polished videos and demos Meta has shared.

This was never more apparent than when Zuckerberg earnestly posted a screenshot of his avatar in front of the Eiffel Tower and Barcelona’s Sagrada Familia to mark Horizon World’s launch in France and Spain. The screenshot was hilariously bad and quickly took on a life of its own as people mocked the “1995 level graphics.”

Mark Zuckerberg's Horizon avatar.
Meta

Zuckerberg quickly promised new and improved avatars, and showed off a more realistic likeness of himself, saying that “graphics in Horizon are capable of much more.” (A post on LinkedIn, which has since been deleted, later revealed that the “improved” Zuck avatar took about a month and “40 iterations” to complete.)

Then, at the company’s Connect event, Zuckerberg promised an even bigger advancement: legs. Soon, Horizon’s cartoonish, legless avatars would be replaced with ones resembling actual, walking humans. We watched as Zuckerberg’s “full body” avatar casually strolled around Horizon Worlds. But while it was first thought to be a turning point — adding leg tracking to VR has been a notoriously tricky problem — it turned out this particular demo was more stagecraft than actual innovation. The company later confirmed that the demo was created with motion capture and wasn’t live VR.

Meta still says that its avatars will eventually have legs, but it’s not clear when, or if the feature will even look like the demo.

The metaverse is a money pit

It’s impossible to ignore that Zuckerberg’s metaverse pivot has also coincided with the company’s worst financial performance in recent memory. Meta’s revenue has shrunk for two straight quarters for the first time ever. Its stock has lost more than 60 percent of its value this year, wiping out billions of dollars.

To be fair, the metaverse isn’t entirely to blame. Apple’s anti-tracking changes in iOS have hurt the company’s advertising business. And the entire industry is reeling from an economic downturn that’s affected even the largest tech giants.

At the same time, Meta is undeniably losing vast amounts of money on its metaverse investments. Reality Labs lost $10 billion in 2021, and 2022’s losses already amounted to $9 billion by the third quarter. Those losses are expected to “grow significantly” in 2023, according to the company’s CFO.

Mark Zuckerberg in what's likely the company's new VR headset.
Meta

It’s no surprise, then, that Meta’s investors are starting to question whether all this metaverse stuff is really worth it. The CEO of Altimeter Capital, a longtime Meta shareholder, made headlines when he wrote an open letter to Mark Zuckerberg earlier this year that called the company’s metaverse investments “super-sized and terrifying, even by Silicon Valley standards.”

In the company’s most recent earnings call, where Zuckerberg more often fields peppy questions about the company’s ad business, one analyst also raised the issue of “experimental bets versus proven bets.”

“I think everyone wants to hear why you think this pays off,” he asked. Zuckerberg, who seemed a bit flustered by the question, replied that “the metaverse work is a longer term set of efforts that we’re working on, but I think that it’s going to end up working.” Patience, he said, will be rewarded.

The Morning After: We tried Dyson’s air-purifying headphones

Dyson’s Zone is a headset-visor that processes the air you breathe and pumps it, well, into your face. Now we know the price ($949!) and launch date (March 2023), the company invited press to strap the baffling device on and test it a little more extensively.

In a dark blue with copper accents, it looks a little subtler than the press images. But it’s still going to turn heads. The Dyson Zone is not designed to protect against COVID-19 or other viruses, as it does not seal to your face. The air purifier filters have a dual-layer design with potassium-enriched carbon to capture acidic gasses. The company claims the filters will block 99 percent of particles, including those as small as 0.1 microns for “filtering city fumes and pollutants.” However, you can use inserts like an N95 mask attachment – also offered by Dyson.

You can check out Engadget’s Cherlynn Low wearing the Dyson Zone around New York.

– Mat Smith

The Morning After isn’t just a newsletter – it’s also a daily podcast. Get our daily audio briefings, Monday through Friday, by subscribing right here.

The biggest stories you might have missed

Elon Musk will find someone else to run Twitter, according to his poll

He asked users if he should step down, and they decisively voted yes.

Elon Musk put his own leadership of Twitter on the line at the weekend. “Should I step down as head of Twitter? I will abide by the results of this poll,” he tweeted. The poll ended and 57.5 percent of users voted “Yes,” compared to 42.5 percent who voted no (with 17,502,391 votes) – a decisive 15-point margin. It remains to be seen if (and how, and when) Musk will abide by his poll, as he has yet to issue any comment about the results. Shortly after publishing the vote (and when it was already tilting toward Yes), he tweeted “as the saying goes, be careful what you wish, as you might get it.”

The vote follows a flurry of activity on Twitter after it announced a sudden rule change prohibiting users from linking to competing platforms and banning several influential users soon after. A massive backlash ensued, prompting an apology from Musk, who also tweeted that “going forward, there will be a vote for major policy changes.” Then, in yet another poll yesterday, @TwitterSafety asked users whether it should “have a policy preventing the creation of or use of existing accounts for the main purpose of advertising other social media platforms.”

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The Final Fantasy ‘Pixel Remaster’ series heads to Switch and PS4

And you can buy a pricey physical edition of the first six games.

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Square Enix

If you were looking for a late (and spendy) Christmas gift for your favorite Engadget newsletter editor (hi, me), Square Enix has you covered. To celebrate the Pixel Remaster series’ arrival on Switch and PlayStation, the company is selling a limited-edition bundle of all six entries in the Pixel Remaster series – Final Fantasy, Final Fantasy II, Final Fantasy III, Final Fantasy IV, Final Fantasy V and Final Fantasy VI – as well a vinyl soundtrack set, a 128-page art book and a set of pixel art figurines. A mere $260 to make my Christmas.

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The best Nintendo Switch games for 2023

A guide for beginners, from A to Z trigger.

In time for holiday shopping, we’ve updated and expanded our guide to the best Switch games, covering all the major games that have wowed us since the console’s launch. Sure, there’s Zelda and Mario in here, but there’s also a bug knight, a witch with guns on her shoes and a skateboarding world to explore.

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Instagram lets you create your own 2022 Recap Reel

Select at least three photos or videos and the app will automatically combine them into a Reel.

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Instagram

Instagram has been placing a bigger focus on Reels this year, and that extends to how users create their 2022 Recap – whether you want it to or not. Select at least three photos or videos and Instagram will automatically stitch these together into a Reel with narration templates from the likes of Bad Bunny, Priah Ferguson and DJ Khaled. Hopefully, those can be toggled off, too.

Reels have been a major focus for Meta over the past year. Across Instagram and Facebook, the company now says Reels are played over 140 billion times every day. Meta has been bolstering its answer to TikTok by making it easier to create Reels, launching an in-app Reels scheduler and ways to post to Reels from third-party apps.

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European Commission tells Meta that Facebook Marketplace is unfair to rivals

It ‘abused its dominant position.’

Europe has hit Facebook owner Meta with a complaint that its Marketplace classified service is unfair to competitors. By tying its main social media site to Marketplace, it has a “substantial distribution advantage” over rivals, the EU Commission wrote in a press release.

“With its Facebook social network, Meta reaches globally billions of monthly users and millions of active advertisers,” EU Antitrust Commissioner said in a statement. “Our preliminary concern is that Meta ties its dominant social network, Facebook, to its online classified ad services called Facebook Marketplace. This means that users of Facebook automatically have access to Facebook Marketplace, whether they want it or not.” This all infringes on EU rules that prohibit the abuse of a dominant market position. The EU has the power to impose a fine of up to 10 percent of Meta’s annual revenue and prohibit the behavior. Meta’s head of EMEA competition said the “claims made by the European Commission are without foundation.”

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OnePlus 11 5G launch event set for February 7th

The Alert Slider and Hasselblad camera tuning are back.

OnePlus has revealed when it will formally show off its flagship products for 2023. The Cloud 11 event will take place in New Delhi, India, on February 7th. The company will showcase the OnePlus 11 5G, OnePlus Buds Pro 2 and more. Along with revealing the event date, OnePlus said it would bring a couple of fan-favorite features back for its next flagship smartphone. The OnePlus 11 will once again feature the company’s Alert Slider, which offers an easy way to shift between silent, vibrate and alert modes.

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The Final Fantasy ‘Pixel Remaster’ series heads to Switch and PS4 next spring

Square Enix’s “pixel perfect” remasters of the first six Final Fantasy games will arrive on Nintendo Switch and PlayStation 4 next spring, the publisher announced on Monday. First announced at E3 2021 and subsequently released on PC and mobile over the…

European Commission tells Meta that Facebook Marketplace is unfair to rivals

Europe has hit Facebook owner Meta with a complaint that its Marketplace classified service is unfair to competitors. By tying its main social media site to Marketplace, it has a “substantial distribution advantage” over rivals, the EU Commission wrote in a press release

“With its Facebook social network, Meta reaches globally billions of monthly users and millions active advertisers,” EU Antitrust Commissioner said in a statement. “Our preliminary concern is that Meta ties its dominant social network Facebook to its online classified ad services called Facebook Marketplace. This means that users of Facebook automatically have access to Facebook Marketplace, whether they want it or not.”

In addition, the Commission found that Meta imposes imposes unfair trading conditions on competitors that advertise on Facebook or Instagram. That essentially allows it to use “ads-related data derived from competitors for the benefit of Facebook Marketplace,” it said. The practices, if confirmed, would infringe on EU rules that prohibit the abuse of a dominant market position. The EU has the power to impose a fine of up to 10 percent of Meta’s annual revenue and prohibit the behavior. 

In a statement, Meta’s head of EMEA competition said the “claims made by the European Commission are without foundation” and that the company “will continue to work with regulatory authorities to demonstrate that our product innovation is pro-consumer and pro-competitive.” 

Last year, the EU Commission launched an antitrust probe into Facebook’s classified advertising practices to determine if it broke competition rules by using advertiser data to its own benefit. The so-called Statement of Objects released today is a formal step in EU antitrust investigations, informing parties of complaints raised against them. Meta can now examine the documents, reply in writing and request an oral hearing to present their comments, according to the Commission. 

The Morning After: Twitter briefly bans links to Facebook, Instagram and other rivals

Could the state of Twitter get any worse? Of course it can. While a lot of us were glued to the World Cup final, the social network made major policy changes, deciding to halt any kind of “free promotion” of competing social media sites. Or, at least, it did for a moment.

Twitter announced yesterday it would remove links to Facebook, Instagram, Mastodon, Post and, er, Truth Social, from accounts whose “main purpose” is to promote content on those platforms. This includes links in Twitter bios and even, it seems, links to YouTube channels and profiles. The company would even restrict the use of third-party aggregators, like Linktree and Link.bio. Funnily enough, if you were willing to pay, you’d be fine. Twitter said it would continue to allow paid promotion for any of the platforms on its new prohibited list.

Twitter began enforcing the policy almost immediately. Yesterday, at 2:17 PM ET, Paul Graham, the founder of startup accelerator Y Combinator – and Silicon Valley royalty – said he was done with Twitter, following the rule change, and told his more than 1.5 million followers to find him on Mastodon. A few hours later, Twitter suspended Graham’s account.

But then late last night, the official tweets announcing the link ban were deleted, as was the policy itself from Twitter’s website. So, well, we’re not entirely sure now. Musk also tweeted a poll asking if he should stick around as Twitter boss. At the moment, the answer is no.

– Mat Smith

The Morning After isn’t just a newsletter – it’s also a daily podcast. Get our daily audio briefings, Monday through Friday, by subscribing right here.

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Riot Games wants a court to end its ‘League of Legends’ sponsorship deal with FTX

It is owed at least $6.25 million.

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Riot

Riot Games has filed a motion with the court overseeing FTX’s bankruptcy case to end the seven-year sponsorship agreement the two companies signed last August. In a brief spotted by crypto critic Molly White, Riot says the exchange still owes half of the 12.5 million it agreed to pay in 2022 for the studio to display FTX branding at LCS events. Riot adds the disgraced firm will owe it another nearly $13 million in 2023.

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Apple has reportedly dropped out of NFL Sunday Ticket negotiations

The new frontrunners are Amazon and Google.

In 2021, Apple was the frontrunner to secure streaming rights to the NFL’s Sunday Ticket game coverage. Now, a year later, the company has reportedly dropped out of negotiations. With Disney bowing out of the negotiations as well, the talks have become a two-horse race between Amazon and Google. Amazon’s Prime Video is already the exclusive home of Thursday Night Football for the next decade. Last year, The Athletic reported the NFL was asking for more than $2 billion per year for Sunday Ticket rights, at least $500 million more than DirecTV had been paying to air Sunday games.

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A Horizon multiplayer game is on the way

Guerrilla is working on more ‘epic solo adventures for Aloy,’ too.

A VR spinoff and Horizon Forbidden West expansion won’t be the last we see of Guerrilla Games’ Horizon universe. The studio has at least two more games in the works for the PlayStation franchise, including a multiplayer title. Guerrilla made the announcement in a recruitment tweet. Along with working on more “epic solo adventures for Aloy,” the star of the first two games, the studio has a separate team to create an “online project set in Horizon’s universe.” It added that the latter will feature new characters and a “unique stylized look.”

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Fujifilm X-H2 camera review

A perfect blend of speed, resolution and video power.

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Engadget

Fujifilm’s 40-megapixel X-H2 is the highest-resolution APS-C camera yet and the first with 8K video. It has a good balance between resolution and speed, with autofocus that’s good but not quite up to par with Canon and Sony. It has plenty of features for video, and the only drawback is rolling shutter, but even that’s not as bad as other rival APS-C cameras. Read on for our full review.

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