Meta Looks To Cutback In Reality Labs In Its Quest For Metaverse

Facebook parent Meta Platforms, Inc FB is preparing cutbacks in its Reality Labs division to refocus on hardware products and the "metaverse," Reuters reports.
Meta was not planning layoffs as part of the changes. The division could not afford to do some projects anymore and postponed others.
According to Reuters, Reality Labs lost $10.2 billion in 2021 and another $3 billion in Q1.
Also Read: Here's How Meta Looks To Monetize Its Metaverse
Recently, Meta informed about decreasing hiring for most mid-to-senior-level positions.
Meta also shared its plans of scaling back costs in 2022, following a drop in Facebook users early this year that caused the stock to plunge.
During its earnings call, CEO Mark Zuckerberg said Meta planned to "slow the pace" of some longer-term investments in its business platform, artificial intelligence infrastructure, and Reality Labs.
Meta has invested heavily in Reality Labs which now encompasses work on augmented reality, smart glasses, Portal video-calling devices, and enterprise tech solutions.
The unit is also building a mixed reality headset with face and eye tracking called Project Cambria.
Price Action: FB shares traded lower by 0.84% at $187.15 premarket on the last check Thursday.
Photo by JD Lasica via Wikimedia