Though the Metaverse project was launched with high expectations, it has gradually veered towards disappointment, leading Meta to initiate layoffs in key departments.
While Meta had embarked on a mission to make the Metaverse accessible to everyone and persisted with its investments despite billions of dollars in losses, it seems the situation has now reached a tipping point.
Major layoffs in the Metaverse division
To execute its new vision, Meta created a division named Reality Labs, pouring billions of dollars into it. This division introduced a series of virtual headsets named Meta Quest and also initiated the development of a unique chip.
Based on the latest intel, around 600 individuals from the chip team, known as FAST, are being laid off. Throughout the week, those marked for termination began receiving emails detailing their severance packages and the departure process.
The FAST team was conceived to diminish Meta’s reliance on external sources and to move towards vertical integration. However, as challenges arose earlier this year, whispers of an organizational overhaul became prevalent.
Dismantling the FAST team might have cascading consequences, especially considering there were plans for a Meta virtual reality headset powered by the FAST chip. Additionally, another team responsible for chip designs for AI research is also facing turbulence. A few weeks ago, the head of that department abruptly resigned from his position.