After burning tens of billions and stubbornly insisting the metaverse would eventually justify the cost, Mark Zuckerberg appears to be backing away from his most ambitious project. Once its defining obsession, it appears that Meta’s boss has finally decided to cut his losses: the metaverse could be on the way out.
Reality Labs encompasses several areas of Meta’s VR/AR business, but Bloomberg writes that two of them will be hit hardest: Horizon Worlds and virtual reality. Zuckerberg is planning to slash Reality Labs’ budget by 30%, with the cuts coming as early as January 2026.
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