According to reports, Meta is considering another wave of layoffs. And it is anticipated to terminate staff in its metaverse section this time. According to Reuters, Meta will fire additional staff on Wednesday, October 4, notably from the team that is designing unique chips for the metaverse.
According to reports, Meta intends to downsize its employment in the silicon section, known as the Facebook Agile Silicon Team, or FAST. The business informed impacted employees about the job layoffs in a post on its internal discussion platform, Workplace, on Tuesday. Employees would be informed of their position with the firm by early Wednesday morning, according to the message.
Although Meta has not made any official statements regarding the layoffs or the number of employees affected, if the cuts are significant, it may jeopardise Meta CEO Mark Zuckerberg’s plan to develop augmented and virtual reality products that allow users to access immersive virtual worlds known as the “metaverse.” This is especially troubling for the augmented reality glasses, which Zuckerberg predicts will “redefine our relationship with technology.”
The layoffs are expected to affect Meta’s FAST section, which employs around 600 people and is in charge of designing specialised processors for Meta’s gadgets. These chips would enable Meta’s gadgets to do unique jobs and run more effectively, distinguishing them from other AR/VR devices on the market.
Nonetheless, Meta has had difficulties in creating chips that can compete with those supplied by external sources. To seek help, the business has worked with chipmaker Qualcomm (QCOM.O) to build semiconductors for its current smartphones.
Meanwhile, the fresh wave of layoffs went unnoticed since Meta was expected to restructure its FAST business when a new boss was chosen to run the unit.
Another team under Meta that is in charge of developing artificial intelligence chips has also encountered difficulties. This unit’s executive director has announced her resignation. Nonetheless, Meta has appointed a replacement to take her place and continue the work on artificial intelligence and chip development inside this area.
In terms of employment layoffs, the most recent rounds will add to the 21,000 cuts made since November of the previous year. The decision to lay off employees was made to address concerns about growing costs in light of Reality Labs’ diminishing revenue growth, high inflation, and financial issues.
Mark Zuckerberg stated in March that the majority of this year’s employment layoffs will take place in the spring. Nonetheless, he admitted that in certain circumstances, these labour shifts may last until the end of 2023.
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