What happened
Shares of Meta Platforms (META 0.49%) jumped on Thursday, climbing as much as 3.8%. As of 2:07 p.m. ET, the stock was still up 2.2%.
The social-media giant rode the broader market move higher but also likely got a boost from news that 3D advertising was coming to its platforms, taking the company one step closer to the metaverse.
Image source: Getty Images.
So what
In a press release issued Thursday, e-commerce technology specialist VNTANA said it was partnering with Meta Platforms, integrating its 3D ad-generating tools with Meta's Augmented Reality (AR) Publishing API. This will facilitate the creation and publication of 3D advertising on both Facebook and Instagram.
"3D and AR technology in online ads is the next frontier for brands looking to connect with the digital consumer and is a great first step into the metaverse," said VNTANA founder and CEO Ashley Crowder. She went on to say the technology offers benefits to both retailers and consumers and helps shoppers better understand products. This will hopefully result in more sales. 3D advertising lets potential buyers interact with the product and view it from a variety of angles.
The new integration allows publishers to upload existing 3D creations from a host of popular programs, while simultaneously converting them to a file size that will work in ads on Meta's platforms.
Now what
The news comes just months after Meta announced it was rolling out 3D avatars on Instagram, while also bringing new avatar options to Facebook and Messenger. The updates include more facial shapes and skin tones, as well as greater inclusion for those with disabilities, including Cochlear implants and wheelchairs. Meta said these were "early steps" toward the coming metaverse.
Facebook recently changed its name to Meta Platforms, signaling to investors that it was going "all-in" on the metaverse. The company has previously said it planned to invest $10 billion in Facebook Reality Labs, its metaverse-focused segment, and expects to "increase our investments for the next several years."
While this is a sizable investment, it could also represent a massive opportunity for Meta Platforms and its investors. Some estimates suggest that the metaverse could be an $800 billion market, according to Bloomberg.
