It’s weird though because they could just cut the whole metaverse and it would matter exponentially more for profits and Wall Street. Maybe that is what this layoff is but I doubt it. They already laid off 10% of reality labs this year. Why do that if they were going to kill it completely.

There also no financial reason to lay off people. The revenue and profit for employee is already way better than per 2020 levels.

I suspect it really is to pour more money into AI capex.