Meta lays off over a thousand employees at Reality Labs, shifting funding focus away from the "metaverse."

Techub News reports, according to Fox Business, Meta is initiating layoffs within Reality Labs, affecting approximately 10% of the division's workforce, which corresponds to over 1,000 positions. Notifications related to these layoffs have been issued starting this Tuesday. A Meta spokesperson stated that the company will shift some of its investments from the metaverse to wearable devices and plans to use the saved costs to support the growth of its wearable business. The report points out that Reality Labs has accumulated losses exceeding $70 billion since 2021, with operational losses alone reaching approximately $4.4 billion in the third quarter of the 2025 fiscal year.