Physical Address
304 North Cardinal St.
Dorchester Center, MA 02124
Meta plans to cut about 10% of its metaverse division’s workforce, a move that signals the company’s shift toward creative innovation.
Important points:
- Meta plans to cut about 10% of its Reality Lab workforce as it shifts its focus from complexity to creative intelligence.
- The move comes after years of big losses for Reality Labs and less expected user growth.
- Games-based countries dominate engagement, while blockchain and corporate companies continue to struggle to attract users.
According to A report published by the New York Times Citing people familiar with the matter, he said the cancellation could be announced on Tuesday.
The cut is expected to affect Reality Labs, the division that oversees Meta’s ambitions for virtual reality and augmented reality.
Metaverse’s Reality Labs is facing layoffs of about 1,500 employees as it emerges from the crisis.
Reality Labs employs approximately 15,000 people and manages tools such as virtual reality audio and virtual reality platforms including Horizon Worlds and Horizon Workrooms.
The roughly 10% cut will affect about 1,500 employees. Meta declined to comment on the report.
The move comes after a budget update that shows a cold commitment to the metaverse, with Meta increasing its investment in AI.
In early December, the company’s shares rose after reports indicated that Meta was considering cutting 30% of its investment in innovation and directing those resources to AI development.
A recent report also stated that Meta plans to transfer some of the money from Reality Labs to its wearables business, which includes smart glasses and wearable devices such as the Meta Neural Band.
Meta, formerly known as Facebook, was re-created in October 2021 in an impressive global bet, real and virtual.
The change came as projects grew more and more in technology and cryptocurrency, but user adoption was difficult to meet expectations.
Since Reality Labs was launched in August 2020, the sector has accumulated losses of over $70 billion.
In Meta’s most recent report for the third quarter of 2025, Reality Labs reported a loss of $4.4 billion.
The main market of the metaverse also showed different trends. Game-based platforms, such as Roblox and Fortnite, remain dominant, each attracting hundreds of millions of users.
Outside of these ecosystems, labor standards are very low. Real worlds adopting blockchain technology have seen less demand, as the Sandbox platform has registered only 776 unique wallets in the past 30 days, according to data from Dab Radar.
Some reports have also indicated that Meta’s Horizon Worlds game has less than 900 users per day.
Meta shareholders have resisted calls to add bitcoin to the company’s portfolio
In June of last year, Meta’s investors overwhelmingly rejected a request to encourage the company to explore adding bitcoin to its website, according to a statement on May 28.
The measure received only 3.92 million votes, about 0.08% of the total, of which almost 5 billion were voted.
With CEO Mark Zuckerberg controlling 61% of the voting power, the outcome was predetermined.
The idea came from Ethan Beck, a supporter of Bitcoin, who said that Meta should allocate part of its $ 72 billion in Bitcoin as a hedge against falling prices and reducing the real return on money and bonds.
Beck referred to BlackRock’s advice that supports the partial distribution of Bitcoin and made a proposal on behalf of his family’s Meta shares.
He is the Head of Bitcoin at Strive, and has led similar campaigns with other tech giants.
A note Meta wants to reduce about 10% of the metaverse unit and prioritize artificial intelligence. appeared for the first time Cryptonews Arabic.
