MetaX has joined the ranks of companies asking the social media giant Meta for its name, according to CNN.
MetaX, an immersive reality company founded in 2010, is suing Meta for trademark infringement. The company claims in a lawsuit that Meta “erased” the company’s business, CNN reported. “Meta’s small business has no chance against the corporate giant,” the complaint said.
The parent company of Facebook changed its name to Meta in October.
Meta stated at the time that it would represent the shift to virtual reality and augmented reality, “the next evolution in a long line of social technologies.”
The “metavers” has already struggled with security and is still in its early stages.
According to CNN, MetaX filed the complaint Tuesday in New York’s Southern District Court and is seeking a court order to get Meta to stop using the name.
“Facebook’s actions, illegally usurping our name and brand, have not only endangered our business, but that of the entire industry and the intellectual property rights of the innovators who have helped it build- lo, ”Justin Bolognin, CEO of MetaX, said in a press release Tuesday.
The lawsuit further argues that Meta, while trying to say companies were different, has copied its strategy for events and permanently connected MetaX with “toxicity that is inextricably linked to the Facebook brand,” he added. CNN.
It’s not the first time Meta has been accused of brutally beating the competition. Virtual reality startups are struggling to sell products that can compete with Meta’s $ 299 headset, Recode reported in 2021. Meta has also been in a series of purchases focused on virtual reality companies, the point reported. for sale.
Stephanie Llamas, a metavers researcher, told the network that Meta’s involvement and approach could also scare startups.
“I’ve talked to a lot of developers who feel they don’t even have a chance to enter the market because Facebook is buying the technology they’re trying to develop,” he said.
Several regulators are investigating the general problem, sources told Bloomberg in January.
Meta has also been aggressive in its search for metavers-related patents, Insider reported in January.
At least one other company with a similar name, Meta Company, had planned to sue Meta, Business Standard reported in November. (The company’s website says it has “proceeded to file the necessary legal action.”) Meta acquired MetaBank’s MetaPay.com domain in December 2021 for $ 60 million, according to Payments Cards & Mobile.
In Meta’s most recent earnings call in April, CEO Mark Zuckerberg said a “web version” of the metavers would come out “later this year”. This means you could see it without a virtual reality headset.
The company’s shares have fallen 46% so far. “While we focus on today’s biggest opportunities and challenges, I think it’s also important to build the foundation for the next era of social technology,” Zuckerberg added to the call.
A Meta representative did not immediately respond to a request for comment.