Meta has initiated a new round of layoffs within its Reality Labs division, as the company continues to streamline operations and concentrate resources on its vision for mixed reality. The latest job cuts have impacted teams within Oculus Studios, the arm responsible for developing virtual and augmented reality content for the Meta Quest headsets.
Though the exact number of employees affected remains unclear, the restructuring appears to be part of a broader effort to improve efficiency and manage spiralling costs. This move comes after earlier layoffs across Meta in 2024, which included the dismissal of 5 per cent of its workforce as part of what CEO Mark Zuckerberg dubbed the “Year of Efficiency.”
Among those affected by the current layoffs are developers who played key roles in shaping well-known VR titles, including those contributing to Meta’s push into health and wellness through apps such as Supernatural. The downsizing reflects a growing tension between Meta’s long-term investments in emerging technologies and short-term financial expectations.
Reality Labs, Meta’s hub for metaverse development, continues to report steep losses. Despite Meta’s early lead in consumer VR with the Quest line, the financial burden of staying ahead has grown heavier.
In 2025, Meta’s metaverse ambitions remain intact—but they now come with clearer trade-offs. Innovate but with leaner teams and focus on priorities.
