March 13, 2023
According to people familiar with the situation, Meta plans to cut more jobs in several rounds over the next few months.
The sources adds that the additional layoffs would be roughly the same magnitude as the 11,000 or 13% workforce layoffs last year. It also stated that layoffs are expected to be announced next week, with non-engineering positions taking a hit. While projects and teams are projected to be canceled. Some wearable devices in the works at Reality Labs, Meta’s hardware and metaverse division, will be among the projects axed.
Last year, Facebook parent Meta announced plans to lay off 13% of its workforce, or more than 11,000 employees, as part of a cost-cutting strategy at the social-media platform in the wake of disappointing earnings, soaring costs, and a weak advertising market.
Aside from the broader macroeconomic challenges, Meta has faced a specific set of difficulties. Despite large marketing pushes and even larger investments, Zuckerberg’s virtual reality pipe dream “metaverse” has not gained traction. The company was also harmed by the changing digital ad economy, experiencing its first decline in ad revenue in 2022 as Apple’s privacy safeguards continue to reverberate throughout the industry.
The sources for this piece include an article in Reuters.
