Meta Confirms "Shifting Some" Funding "From Metaverse Toward AI Glasses"
UploadVR • • business
Key Points:
- Meta is shifting some investment from its Metaverse projects within Reality Labs toward AI glasses and wearables, following reports of up to a 30% budget cut primarily affecting VR and Horizon Worlds initiatives.
- The budget cuts are expected to impact Horizon Worlds significantly, with potential layoffs and reduced funding for third-party content studios, as Meta seeks to refocus on more promising hardware like smart glasses.
- Despite a record revenue quarter in Q4 2024 driven by the Quest 3S headset, sales declined in early 2025, prompting Meta to prioritize new headset designs and closely monitor product performance through 2027.
- Meta's smart glasses, particularly the Ray-Ban Meta line produced with EssilorLuxottica, have seen rapidly increasing sales
