Meta Plans 30% Cut to Metaverse Budget as Reality Becomes Less Virtual: Bloomberg
Overview
Meta is reportedly planning to reduce its budget for the Metaverse by 30%, as it reassesses its investments in virtual reality. This decision follows challenges faced by its Horizon Worlds and Quest platforms, leading to potential layoffs.
What Happened
According to sources familiar with the situation, Meta’s strategy is shifting as the company pulls back from its significant financial commitment to virtual reality, which has amounted to $70 billion. The budget cut highlights a change in focus for Meta, particularly concerning its Horizon Worlds and Quest initiatives. This retreat from a previously aggressive investment strategy suggests that Meta is recalibrating its approach to the Metaverse in light of current challenges.
Impact on the crypto market
- A significant budget cut from a major tech company like Meta may influence investor sentiment regarding virtual reality and related technologies.
- Potential layoffs in Meta’s Metaverse divisions could signal a broader trend affecting employment in the tech and virtual reality sectors.
- The shift in Meta’s strategy could lead to reduced competition in the Metaverse space, impacting innovation and development in related crypto projects.
- Investors and stakeholders may reassess the viability of virtual reality projects and their integration with blockchain technology.
- The decision could prompt other companies to evaluate their own investments in virtual reality and the Metaverse.
Updated: 12/4/2025, 5:27:00 PM
