Meta plans to reduce investment in its Metaverse team to save funds for its VR headset business

Glonghui Jan 13｜According to The New York Times, three informed employees revealed that Meta Platforms (META.O) is considering layoffs in a branch of its Reality Labs division engaged in “metaverse” business. The layoffs could begin as early as next month and may affect 10% to 30% of the team. This team is mainly responsible for VR headsets and VR-based social networks. Reality Labs consists of the metaverse division and the wearable devices division. Sources said that management expects to reallocate the funds saved from the layoffs into the AR glasses project. Meta partnered with Ray-Ban in 2021 to launch AR glasses, and their sales have already exceeded the company’s internal targets. According to insiders, Meta is re-evaluating its investment in metaverse-related projects. Within the metaverse division, executives are considering significant reductions in VR-related positions.