Meta reportedly plans to slash Metaverse budget by up to 30%

Core Insights - Meta is reportedly considering significant budget cuts of up to 30% for its Metaverse division, which may also involve layoffs [1][2] - The potential cuts reflect a broader lack of consumer and industry interest in Meta's virtual reality products, including Horizon Worlds and its VR hardware [2] - Since the company's rebranding in 2021, investors have expressed skepticism regarding the financial viability of its Metaverse investments, which are currently resulting in billions of dollars in losses each quarter [3] Financial Performance - Meta's Metaverse projects are losing billions of dollars quarterly, raising concerns among investors about the sustainability of these investments [3] - Despite the negative outlook on the Metaverse division, Meta's shares experienced a rise following the news of potential budget cuts [3] Market Sentiment - There is a growing investor concern regarding the allocation of resources to Metaverse projects, while the company's initiatives in AI and smart glasses have shown more promise [3]