What does it mean when a company “burns through money”? Where does the money go?

Question

I read [this article](https://kotaku.com/facebook-metaverse-vr-2022-billions-13-billion-quest-2-1850062517) this morning about how ~~Facebook~~ Meta’s VR division “Lost $13.72 Billion In 2022”. The article later says that Meta is burning through money. But if they’re spending money to generate a product, doesn’t that money go somewhere? If Meta doesn’t have the $14 billion, who does?

In: 0

Answer 1

The money goes to payroll (salaries of the people doing the research, HR, managers, etc.), facilities (buildings they work in), taxes, prototyping technology, among other places.

It costs a lot of money to run a business, especially one as bloated as Meta