The future of VR at Meta is a hot topic, and the CTO has a clear message: 'VR is not dead.' But is this just a PR move, or a genuine commitment to the technology? Let's dive into the details and explore the controversy.
Amidst rumors and speculation, Meta's CTO Andrew Bosworth addressed the question of VR's fate within the company. This came after several prominent media outlets reported that Meta was considering a substantial budget cut of up to 30% for its metaverse teams. In response, Meta confirmed a shift in investment, stating they are reallocating funds from the metaverse to AI glasses and wearables, citing the momentum in these areas.
But here's where it gets interesting: Bosworth, in an Instagram AMA, denied that VR is dead at Meta. He emphasized that the company is investing in multiple areas, including VR, glasses, and AI, and has been doing so for years. He explained that the annual budget process involves optimizing resources and adjusting investments based on market trends and growth rates. This, he argues, is a standard practice for any large company.
Bosworth's statement aligns with Meta's official confirmation of the funding shift but adds a twist. He suggests that a 30% spending cut doesn't mean abandoning VR altogether. Instead, it indicates a rebalancing of resources, allowing Meta to continue working on VR while also focusing on glasses and AI.
However, the leaked memo from Bosworth to Reality Labs staff adds a layer of intrigue. It sets 2025 as the make-or-break year for the company's hardware and metaverse division, labeling it as either visionary or a legendary misadventure. This memo was sent just over a year before Meta's funding shift from Horizon Worlds and VR to smart glasses.
In the memo, Bosworth highlighted the importance of 2025, calling it a critical year for Reality Labs. He urged staff to boost sales, retention, and engagement, especially in mixed reality (MR), which at the time included VR. The company's focus on smartphone-only worlds and multi-million-dollar creator competitions for its Horizon Worlds platform hasn't gained significant traction.
On the other hand, Meta's smart glasses, the Ray-Ban Meta, have seen impressive sales growth, with more than 200% growth in the first half of 2025 compared to the previous year. This success contrasts with the relative stagnation of Quest and Horizon Worlds, despite Quest 3S's strong performance in Q4 2024.
Meta's headset development continues, with leaked memos revealing plans for an ultralight headset with a tethered puck, delayed until 2027, and a gaming-focused Quest 4, a significant upgrade over Quest 3.
So, is VR truly alive and well at Meta, or is this a strategic pivot to capitalize on the success of smart glasses? The debate is open, and we invite you to share your thoughts. Is Meta's approach a visionary strategy or a misadventure in the making? Let us know in the comments!
