Mark Zuckerberg's Meta Reportedly Set To Lay Off Employees In Metaverse Silicon Unit on Wednesday
Portfolio Pulse from Ananya Gairola
Meta Platforms Inc. (NASDAQ:META) is reportedly preparing to lay off employees in its metaverse-oriented silicon unit, Reality Labs. The extent of the workforce reductions remains uncertain, raising concerns about the impact on Meta’s ambitious metaverse projects. Meta has been collaborating with Qualcomm (NASDAQ:QCOM) for its current device lineup due to challenges in producing competitive in-house chips. The layoffs are part of Meta's efforts to address investor concerns about cost control amidst declining revenue growth and elevated inflation.

October 04, 2023 | 2:14 am
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Meta Platforms Inc. is reportedly preparing to lay off employees in its metaverse-oriented silicon unit, raising concerns about the impact on Meta’s ambitious metaverse projects.
The layoffs at Meta's Reality Labs division could potentially impact the company's ambitious metaverse projects, which could negatively affect investor sentiment and the company's stock price in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
NEUTRAL IMPACT
Meta has been collaborating with Qualcomm for its current device lineup due to challenges in producing competitive in-house chips.
While Meta's layoffs could potentially impact its metaverse projects, it's unclear how this will affect Qualcomm, which has been collaborating with Meta for its current device lineup. Therefore, the impact on Qualcomm's stock price in the short term is neutral.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 50