Meta's Metaverse Silicon unit to lay off employees

Meta, formerly known as Facebook, seems to be facing a challenge in its ambitious journey towards building the metaverse. They are reportedly reshuffling its Reality Labs team, the driving force behind its innovative silicon chips.

• Speculations: The initial buzz started on Meta's internal forum, Workplace, as reported by Reuters. Here, employees were given an ominous heads-up to keep a close eye on their job status updates. Details remain scarce as Meta has yet to offer any official statements.

• The Team: The Facebook Agile Silicon Team (FAST), a group of approximately 600, has been focusing on designing customized chips. These are aimed at giving Meta's products an edge in the crowded AR/VR market.

• The Current Conundrum: Despite their best efforts, Meta has struggled to compete with external silicon chip manufacturers. As a result, the company is now leaning on chipmaker Qualcomm to keep their gadgets operational.

• Planned Restructuring: Changes to the FAST structure have been anticipated since spring, aligning with the entry of a new executive to head the unit.

• Further Challenges: Another bump in the road is the announced departure of an executive overseeing a team working on artificial intelligence chip-making.

• Upcoming Releases: Meta already offers the Quest mixed reality headsets and Ray-Ban smart glasses. At their recent Connect conference, they announced new versions of these products. They're also developing sleeker AR glasses, smartwatches, with a new product expected to hit the market next year.

Meta has reportedly eliminated around 21,000 positions since last November in an effort to control costs. This move appears aimed at ensuring investors amid concerns about stagnant revenue growth and the high operating costs of the Reality Labs division.