Meta has reportedly cut around 700 roles across several divisions, including its Reality Labs unit.

According to The New York Times, positions in recruiting, sales, operations, and Facebook were also affected. The company currently employs 78,000 people.

A Meta spokesperson told the outlet: "Teams across Meta regularly restructure or implement changes to ensure they're in the best position to achieve their goals. Where possible, we are finding opportunities for employees whose positions may be impacted.

Bloomberg reports the layoffs may affect workers in the US and other markets. Most affected employees were reportedly notified on Wednesday, March 25.

Earlier this year, Meta cut 10% of its Reality Labs workforce. This decision led to the closure of three VR studios: Twisted Pixel Games, Sanzaru Games, and Armature Studio. The VR and AR division employs about 15,000 staff.

During this year's GDC Festival of Gaming, Meta director of games Chris Pruett revealed that Meta Quest usage had hit an "all-time high" in 2025, with more than 100 titles generating over $1 million in gross revenue.

Pruett also discussed the removal of the Horizon Worlds metaverse from the Meta Horizon Store, scheduled for this June.

"The cycle of experiment-learn-adjustment is typical for Meta," said Pruett. "We are cautious not to make assumptions we cannot prove, and when our assumptions are disproved, we change course."

Meta's Reality Labs division generated $2.2 billion in revenue overall last year, reporting a $19.2 billion loss.