Archive · 21 Jan 2026
Meta Cuts 1500 Reality Labs Jobs
Meta, the company that used to be called Facebook, is letting go of about 1500 workers from a part of the company called Reality Labs.
This group makes things like virtual reality headsets and other futuristic products.
The company is doing this because it wants to spend more time and money on things like AI glasses and phone features instead.
Reality Labs has been losing a lot of money since 2021, over $70 billion, because these products aren't making much money yet.
The company's boss, Mark Zuckerberg, had big plans for something called the metaverse, a virtual world where people can do different activities, but it hasn't become as popular as he hoped.
So, Meta is making these changes to try and make the business more successful.
Meta is laying off 1500 employees from its Reality Labs division, about 10% of the division's workforce.
The company is shifting focus from virtual reality and metaverse products to AI wearables and phone features.
Reality Labs has lost over $70 billion since 2021 due to lack of meaningful revenue from its investments.
The metaverse, a virtual world for work, play, and exercise, has been particularly costly and hasn't taken off as expected.
Meta plans to reinvest the savings from these layoffs to support the growth of wearables this year.
- Who
- Meta (formerly Facebook)
- What
- Layoffs of 1500 employees from Reality Labs division
- When
- As part of a recent plan to redirect resources
- Where
- Reality Labs division, which includes VR headsets, AI glasses, and virtual world products
- Why
- To focus on AI wearables and phone features, making the business more sustainable
- Number of Layoffs
- 1500
- Division Affected
- Reality Labs
- Percentage of Division Laid Off
- 10%
- Total Employees in Division
- 15,000
- Focus Shift
- AI wearables and phone features
- Financial Loss Since 2021
- $70 billion