Meta has announced layoffs within its Reality Labs division as part of a company-wide restructuring. This reduction affects various teams associated with Oculus Studios, which is responsible for developing mixed reality games and wearables. A Meta spokesperson stated that the changes aim to enhance efficiency in delivering future mixed reality experiences to their expanding audience. On April 24, the company executed the layoffs, although it did not disclose the specific number of affected employees.
The restructuring impacts teams engaged in the development of titles such as Supernatural, a VR fitness game. Despite these cuts, Meta has reiterated its commitment to investing in mixed reality and creating compelling gaming experiences for the Quest and Supernatural communities. The layoffs come after Meta’s CEO, Mark Zuckerberg, had earlier indicated plans to trim 5% of the company’s lowest-performing employees in response to current business conditions. Interestingly, as of December of the previous year, the company’s workforce had grown by 10%, reaching a total of 74,067 employees.
While Reality Labs saw record revenue in 2024, driven mainly by popular products such as the Meta Quest 3S and Ray-Ban Meta Smart Glasses, the division still reported significant operating losses, totaling nearly $5 billion in expenses during the fourth quarter. Analysts will be keenly observing Meta’s upcoming Q1 earnings report on April 30, which may shed more light on the financial performance of Reality Labs during this period. Nandika Ravi, an editor for Android Central, stays attuned to developments in the tech sector. Based in Toronto, she combines her reporting experience with a passion for technology, often sharing insights while enjoying coffee or gaming in her leisure time.