Sounds like in the last few weeks. Last month, Zuckerberg assembled leadership. They looked at the budget for next year, and Metaverse is where they want to focus their cuts.Bring us your reporting. Yes. So this is an annual thing, right.Looking ahead to 20, 26 budgets. In this case, Mark Zuckerberg has a nice home in Hawaii where they have a series of meetings. Executives come in in the month of November.And to your point, they talk about this year, 10% cuts sort of across the board, looking at all the dif ...

Group 1: Market Overview - Major U.S. equities indexes showed mixed performance, with the Dow Jones Industrial Average down 0.1%, while the S&P 500 and Nasdaq both increased by 0.1% [1] - Tech stocks experienced gains, while consumer staples stocks faced losses [1] Group 2: Company Performances - Dollar General (DG) saw a significant stock increase of nearly 12% after reporting strong quarterly results, following a positive report from competitor Dollar Tree (DLTR) [1] - Meta Platforms (META) shares rose by 4% after news of potential spending cuts in its metaverse segment for the next year [2] - Kroger (KR) was the largest decliner in the S&P 500, with shares falling 6% due to quarterly sales that missed analysts' expectations [2] - Snowflake (SNOW) shares dropped 11% after a disappointing margin forecast raised concerns about its AI-related investments [3] - Intel (INTC) stock decreased by 6%, as the company decided to retain its networking and communications segment after a strategic review [3] Group 3: Commodity and Currency Movements - Oil and gold futures experienced an increase, while the yield on the 10-year Treasury note rose to 4.10% [4] - The U.S. dollar weakened against the euro and yen but strengthened against the pound [4] - Bitcoin's price fell to just above $92,000, while Ethereum gained, with most other major cryptocurrencies declining [4]

Core Insights - Meta is planning budget cuts of up to 30% in its Reality Labs division, which may lead to job cuts affecting employees working on Horizon Worlds [1][3] - The company has faced over $60 billion in losses in Reality Labs since 2020 and is increasing its AI spending amid a competitive landscape [4] - Meta's stock rose by 4%, adding $69 billion to its market cap, following news of the budget cuts [4] Budget Cuts and Job Uncertainty - The potential budget cuts are part of a broader strategy discussed by CEO Mark Zuckerberg with executives [2] - Employees are uncertain about whether cost reductions will lead to layoffs, with most cuts expected to come from operating expenses rather than salaries [3] Organizational Changes - Meta has previously reorganized its metaverse unit, appointing new leaders for its metaverse efforts [5] - Vishal Shah, a key figure in Meta's metaverse initiatives, is transitioning to a different division, while Apple design leader Alan Dye has been hired to lead a new creative studio [6] Previous Restructuring Efforts - In April, Meta cut an undisclosed number of Reality Labs employees as part of a restructuring, affecting its gaming division and VR fitness app team [7] - The company has emphasized the need to drive sales and engagement, particularly in mixed reality, to ensure the long-term success of its metaverse plans [8] Investor Scrutiny - The significant losses in Reality Labs have raised concerns among investors, with analysts questioning when these losses might decrease [8]

Meta executives are reportedly considering cutting as much as 30% of the budget of the company’s metaverse group amid a shift of resources toward artificial intelligence.By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions .Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins requi ...

The social media maven may soon cut metaverse spending.Shares of Meta Platforms (META +4.01%) rallied Thursday morning, gaining as much as 5.7%. As of 11:59 a.m. ET, the stock was still up 4.1%.The catalyst that sent the social media and artificial intelligence (AI) specialist higher was a report that the company plans deep cuts to its metaverse spending. Big cutsAs part of the company's budget planning process for 2026, executives at Meta are considering slashing spending on the metaverse by as much as 30% ...

Core Insights - Meta Platforms is expected to implement budget cuts of up to 30% for its metaverse initiative, as reported by Bloomberg News, which has led to a more than 4% increase in the company's shares [1][2] Group 1: Budget Cuts and Financial Impact - The proposed cuts are part of the company's annual budget planning for 2026, which involved meetings at CEO Mark Zuckerberg's compound in Hawaii last month [2][5] - The significant budget cuts may result in layoffs as early as January [2] Group 2: Strategic Focus and Investments - CEO Mark Zuckerberg has made substantial investments in the augmented-reality unit, with the company changing its name to Meta from Facebook in 2021, and the unit has incurred losses exceeding $60 billion since 2020 [1][3] - Earlier in the year, the company launched a Superintelligence Lab, investing $14.3 billion to acquire a 49% stake in Scale AI, led by CEO Alexandr Wang [4] Group 3: Competitive Landscape - The report on budget cuts comes as Meta seeks to maintain its relevance in the artificial intelligence sector, particularly following the poor reception of its Llama 4 model [2]

Meta Shares Rise 4% Amid News It Will Cut Metaverse Spendinghttps://t.co/72jqbldVE0 https://t.co/uS8AuLTfFk ...

Meta Platforms' (NASDAQ:META) journey into the metaverse began in 2014 with its $2 billion acquisition of Oculus VR, a move that positioned the company as a pioneer in virtual reality hardware. This laid the groundwork for immersive experiences beyond traditional screens. In 2019, Meta launched its social VR platform, Meta Horizon — originally called Facebook Horizon — allowing users to interact, create, and socialize in shared virtual spaces. The platform aimed to blend social networking with VR, fostering ...

Meta reportedly plans to slash Metaverse budget by up to 30% https://t.co/HXFMqtjwWB ...

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]