Meta has trimmed roughly 1,500 employees from its Reality Labs division—about 10% of the unit's workforce. Reality Labs is the company's strategic hub for virtual and augmented reality development, an area that's been central to Meta's vision of building next-generation computing platforms. This restructuring reflects the company's effort to optimize spending and prioritize high-impact initiatives within its XR (extended reality) roadmap. The move signals shifts in how major tech players are allocating resources to emerging technologies. With VR/AR ecosystems still in their growth phase, industry watchers are keeping close tabs on how this impacts the broader metaverse narrative and developer ecosystems building on these platforms.