Facebook owner Meta has reportedly cut over 100 jobs at Reality Labs, the division responsible for its virtual reality and augmented reality software and hardware, including Quest.
The news was initially reported by The Verge, whose sources said the cuts had impacted teams within Meta’s Oculus Studios – which is focused on developing games for the company’s Quest headsets – as well as “some” employees from Reality Labs’ hardware arm. Bloomberg later reported “more than 100” workers were impacted.
In a statement provided to The Verge, Meta spokesperson Tracy Clayton confirmed cuts had been made within Oculus Studios, saying “some” teams were “undergoing shifts in structure and roles that have impacted team size.” Clayton added the changes were intended to “help Studios work more efficiently on future mixed reality experiences for our growing audience, while still delivering great content for people today.” The Verge says Meta declined to comment on layoffs outside of Oculus Studios.
Impacted staff include the team behind Meta Quest fitness application Supernatural, which Meta acquired for $400m USD – alongside its developer Within – in 2023, following an anti-trust battle with the FTC. The Supernatural team confirmed it had been affected by Meta’s latest layoffs in a statement shared on Facebook, writing it was “deeply saddened” by the loss of “some of our incredibly talented team members”.
Despite the layoffs, Meta says it remains “committed to investing in mixed reality experiences, including fitness and games, and our drive to deliver the best experiences possible for the Quest and Supernatural communities remains unchanged.”
Meta has dramatically reduced staff numbers of the last few years, cutting more than 20,000 jobs in 2022 and 2023. Lone Echo developer Ready at Dawn – which Meta acquired in 2020 – was heavily impacted by those cuts and was closed down at the end of last year.
Today’s Reality Labs layoffs follow Meta’s admission last April that the AR/VR division had lost over $1bn every month for most of the last two years, with the company saying it expected losses to increase as it deepened its investment.