Given the somewhat disappointing earnings of the last quarter, Match Group announced it is scaling back Tinder’s ambitions for futures appointments in the metaverseand setting aside plans to supply Tinder Coins in-App. Plus, these don’t seem to be the only news for the Dating App. Apparently Renate Nyborg, the company’s first female CEO, will step down from her position. And this says a lot about the future of the application, given that Nyborg had pushed her “Tinderverse“- Tinder in the metaverse, so to speak -. What will happen to the dating app then?
Tinder: App turns around projects in the metaverse
Last year, Tinder wowed everyone with the acquisition of Hyperconnect, a company focused on on video production, Artificial Intelligence and augmented reality technology. Shortly thereafter, Renate Nyborg presented to the public the possibility for users to meet and interact in the metaverse. Now, however, the CEO admits that he asked the company to scale these projects. “Given the uncertainty about the final contours of the metaverse and what will or will not work, as well as the most challenging operating environment, I have instructed the Hyperconnect team to iterate but not to invest heavily in the metaverse at this time,” said the Nyborg.
“We will continue to carefully evaluate this space and consider moving forward at the appropriate time when we have more clarity on the overall opportunity and feel we have a service well positioned to be successful.” But it’s not just the Tinder metaverse that is undergoing a shutdown. Even the Tinder Coins project, the in-app currency launched in February in some markets, it does not seem to fare well. “After seeing mixed results from Tinder Coins testing, we have decided to step back and re-examine that initiative so that it can contribute more effectively to Tinder’s revenue,” the company wrote in an official statement.
Although revenue increased overall, CNBC reports Match Group’s earnings were below expectations of analysts for the second quarter. And that expectations for the third quarter are far from high. As a result, it may not be the right time for the Tinder App to invest in the metaverse.