Technology
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I imagine the biggest problem for fb is that young people are abandoning it in droves now. One of the dumbest things they did was to force people to tie their real identity to their account. Nobody wants to post fun things they do in their spare time and then have that pop up in a professional setting.
Another thing fb gets used for often is organizing events or keeping up with friends, but this sort of stuff is just as convenient to do using pretty much any instant messaging platform. And you don't need a platform like fb for that at all since that typically involves a fairly small group of friends you know personally.
The whole meta rebranding is very clearly rushed and it has no legs because VR tech just isn't there yet. It's fun to play a VR game for a couple of hours at most. The headsets are heavy, resolution is not great, and lots of people get nausea when trying to move around in VR. Having to buy additional hardware for this is another factor that will limit the appeal. This is a novelty experience, and fb is delusional if they expect people to start spending comparable amount of time that they spend on their site in their metaverse.
Ultimately, it's no different from previous style MMO efforts like second life. There is nothing fundamentally new or different that fb is doing here, and so there's no reason to expect it to get significantly more traction.
Their model is also competing with stuff like Tiktok that's been eating their lunch lately. Meta will have to offer something that's enticing enough to pull people away from other platforms.