Meta Shares Jump 4% as Company Plans Major Metaverse Cuts

Shares of Meta Platforms jumped about 4% after a report by Bloomberg reported that the company is planning to cut up to 30% of its metaverse budget, signaling a pivot beyond social media. This decision comes after Meta's Reality Labs unit, responsible for developing VR headsets and Ray-Ban and Oakley AI smart glasses, reported a $4.4 billion loss in the company's most recent quarter. The division has lost over $70 billion since late 2020. The proposed cuts are part of Meta's annual budget planning for 2026 and may include layoffs as early as January, primarily affecting the virtual reality group.