Meta Plans to Reduce Investment in Metaverse Team, Shifting Savings to VR Glasses Business

According to The New York Times, three informed employees stated that Meta Platforms (META.O) is considering layoffs within a branch of its Reality Labs department focused on the "metaverse" business, potentially starting as early as next month, affecting 10% to 30% of the team's staff. This team is primarily responsible for VR headsets and VR-based social networks. Reality Labs consists of the metaverse division and the wearable devices division. Sources indicated that management expects to redirect the savings from the layoffs into the AR glasses project. Meta collaborated with Ray-Ban to launch AR glasses in 2021, whose sales have exceeded the company's internal targets. Informed sources said Meta is reassessing its investments related to the metaverse. Within the metaverse division, executives are considering significant cuts to VR-related positions.