Meta slashes Reality Labs jobs after $60B metaverse losses
Meta is cutting roughly 1,000 jobs in its Reality Labs team, though some reports project cuts could total about 1,500 (around 10%), as it pivots from big bets on the metaverse to focus more on AI wearables and smart glasses.
VR and metaverse teams hit hardest
Most layoffs target the virtual reality and metaverse groups, including three studios building VR apps.
Reality Labs has lost over $60 billion since its 2021 metaverse pivot—last year alone saw a $19.1 billion loss on just $2.2 billion in revenue.
Meta is also shutting down its Workrooms VR meetings app and pausing new Horizon OS headsets as consumer interest in VR cools.
Fun fact:
Despite pouring more than $60 billion into the metaverse dream since its 2021 metaverse pivot, CEO Mark Zuckerberg says similar losses are expected in 2026 before things (hopefully) turn around.