Meta implemented layoffs on Thursday affecting its Reality Labs division, which includes various virtual and augmented reality initiatives. These reductions have impacted employees within Oculus Studios, responsible for developing apps and games for Meta’s Quest headsets.
Although Meta did not disclose the number of employees affected, it confirmed that individuals working on Quest products, such as Supernatural—a VR exercise application—were among those impacted. Meta had acquired Within, the company that developed Supernatural, in 2023.
According to a statement given to TechCrunch, Meta explained, “Certain teams within Oculus Studios are experiencing changes in structure and roles that have influenced team size.” These adjustments aim to enhance efficiency in developing future mixed reality experiences for a growing audience while ensuring the delivery of quality content.
Reality Labs has significantly impacted Meta’s finances, recording a loss of nearly $5 billion in the last quarter of 2024, despite generating approximately $1 billion in sales. Meta has consistently reported substantial operating losses in Reality Labs each year since its rebranding from Facebook, highlighting its commitment to the “metaverse.”
The layoffs precede Meta’s forthcoming first-quarter earnings report, where the company may confront further examination regarding Reality Labs’ escalating costs.
Meta informed TechCrunch that the affected employees will have the opportunity to apply for other positions within the company.
Regarding the implications for Supernatural users, the layoffs will result in reduced weekly new workout releases from the app. However, each workout will now be available across a broader range of skill levels instead of being limited to a single difficulty level. Additionally, a Facebook post confirmed that the coaches responsible for conducting the app’s workouts will remain unaffected by the layoffs.
