Meta Lays Off 13% of Its Workforce and About 11,000 Jobs

Meta platforms, the parent company of Facebook, announced on Wednesday that it has reduced 13% of its staff as it lays off more than 11,000 people from its workforce. The social media behemoth claimed the job losses affected both its Reality Labs and Family of Apps (FoA) segments. Family of Apps holds Facebook, Instagram, Messenger, WhatsApp, and other applications, while Reality Labs is home to its virtual and augmented reality activities.

Predictions of Meta

Additionally, Meta predicted that Reality Labs' operating profits in 2023 will keep rising sharply annually. After discontinuing its stablecoin attempts, the network has been attempting to gain traction on Web3. Facebook even changed its name to Meta to emphasize its commitment to creating the metaverse. According to the business, Instagram users will soon be able to create and trade non-fungible tokens (NFTs). In pre-market trade, the parent company of Facebook shares traded at $99.8, up more than 3%.

Reason of Termination

Mark Zuckerberg, CEO of Meta, cited a macroeconomic slowdown and e-commerce losses as the reasons why the revenue was substantially lower than expected. In order to counteract this, he claimed, the business has reallocated funds to a smaller number of key development sectors, including its AI discovery engine, advertisements platform, and foray into the metaverse.