Meta's Zuckerberg to Slash Metaverse Spending Amid Shift in Priorities

Meta Platforms Inc.'s Mark Zuckerberg is expected to implement significant cuts in resources for building the metaverse, a project he once envisioned as the future of the company and the reason for changing its name from Facebook Inc. According to people familiar with the talks, who asked not to be named while discussing private company plans, executives are considering budget cuts as high as 30% for the metaverse group next year, which includes the virtual worlds product Meta Horizon Worlds and its Quest virtual reality unit. The proposed cuts would likely involve layoffs as early as January, although a final decision has not yet been made. The metaverse group was asked to cut deeper this year given that Meta has not seen the level of industry-wide competition over the technology that was anticipated. Zuckerberg has asked Meta executives to look for 10% cuts across the board, which has been the standard request during similar budget cycles the past few years. The metaverse group's budget cuts are part of the company's annual budget planning for 2026, which included a series of meetings at Zuckerberg's compound in Hawaii last month. The people familiar with the talks stated that the proposed cuts are a result of Meta's failure to achieve the level of industry-wide competition over the metaverse technology that was expected. Industry experts have been closely watching Meta's metaverse efforts, which include the development of virtual reality products such as Meta Horizon Worlds and the Quest virtual reality unit. The metaverse is a shared, immersive online space that allows users to interact with each other and digital objects in a more natural and intuitive way. Meta's metaverse efforts have been seen as a key part of the company's strategy to expand its presence in the technology industry and to create new revenue streams. However, the company's failure to achieve the level of industry-wide competition over the metaverse technology that was expected has led to a reevaluation of its priorities and a decision to cut back on resources. The proposed budget cuts are a significant development for Meta's metaverse efforts, which have been seen as a key part of the company's strategy to expand its presence in the technology industry. The cuts are likely to have a significant impact on the company's employees and partners who are working on metaverse-related projects. Meta has not commented publicly on the proposed budget cuts, but the company is expected to provide more information on its plans in the coming weeks. The company's annual budget planning process typically involves a series of meetings and discussions between executives and other stakeholders, and the final decisions are usually made in the spring. The proposed budget cuts are a significant development for the technology industry, which has been closely watching Meta's metaverse efforts. The metaverse is a shared, immersive online space that allows users to interact with each other and digital objects in a more natural and intuitive way, and it has the potential to revolutionize the way people communicate and interact with each other. The impact of the proposed budget cuts on Meta's metaverse efforts is likely to be significant, and the company's employees and partners who are working on metaverse-related projects are likely to be affected. The company's failure to achieve the level of industry-wide competition over the metaverse technology that was expected has led to a reevaluation of its priorities and a decision to cut back on resources. The proposed budget cuts are a significant development for the technology industry, and they are likely to have a significant impact on the company's employees and partners who are working on metaverse-related projects. The company's failure to achieve the level of industry-wide competition over the metaverse technology that was expected has led to a reevaluation of its priorities and a decision to cut back on resources. Meta's metaverse efforts have been seen as a key part of the company's strategy to expand its presence in the technology industry and to create new revenue streams. The company's failure to achieve the level of industry-wide competition over the metaverse technology that was expected has led to a reevaluation of its priorities and a decision to cut back on resources. The proposed budget cuts are a significant development for the technology industry, and they are likely to have a significant impact on the company's employees and partners who are working on metaverse-related projects.