Meta’s metaverse ambitions have faltered, leading to significant layoffs in its Reality Labs division and the closure of several VR game studios.

Meta's ambitious investment in the metaverse has failed, with the company laying off 1,500 employees from its Reality Labs division and shutting down several VR game studios. Despite Meta's initial rebranding to focus on the metaverse, the division has never turned a profit and has faced middling consumer demand. The metaverse's failure is attributed to overhyped expectations, bad initial products, and a lack of user safety measures. Meta is now shifting its focus to AI and AR technologies, such as its Ray-Ban smart glasses.