Tinder CEO Renate Nyborg quits after the firm released poor second-quarter numbers
After the company revealed dismal second-quarter financial results, Tinder CEO Renate Nyborg decided to resign after a little under a year in the role. Due to this action, Tinder’s parent company, Match Group, has said that it will scale back its goals for metaverse dating, stop making plans to establish an in-app Tinder Coins currency, and limit funding for Web3-related research and development. Tinder acquired Hyperconnect last year, a business that specializes in video, artificial intelligence, and augmented reality technologies. Tinder users were supposed to be able to meet and talk to each other in the future through “Single Town,” which is based on avatars.
Match Group CEO Bernard Kim said, “I believe a metaverse dating experience is important to capture the next generation of users, and Hyperconnect has been innovating in this area.” However, given uncertainty about the ultimate contours of the metaverse and what will or won’t work, as well as the more challenging operating environment, I’ve instructed the Hyperconnect team to iterate but not invest heavily in the metaverse at this time. “
Match Group ascribed its $10 million operating loss in the second quarter of 2022 to the Hyperconnect acquisition, which contrasted with an operating gain of $210 million in the same quarter the previous year. Tinder Coins, the in-app currency that the company hoped would encourage users to spend more money on the website, also got negative news. The idea behind Tinder’s currency system was to reward users for regularly updating their accounts and utilizing the app while simultaneously making coins readily available for direct purchase. Then, in exchange for them, the for-profit Tinder services, like Super Likes, would be accepted. As of February of this year, the feature had a “soft launch” in a few places around the world.