Meta CTO Explains Layoffs & Strategy Shift: "VR Is Growing Less Quickly Than We Hoped"
In a series of interviews at Davos, Meta's CTO explained why the company is reducing its investment in VR.
If you somehow missed it: last week Meta shut down three of its acquired VR game studios, conducted significant layoffs at a fourth, canceled the Batman: Arkham Shadow sequel, and announced the shutdown of Horizon Workrooms and its Quest headsets for business offering. These actions came a month after the company officially confirmed "shifting some of our investment from Metaverse toward AI glasses and Wearables".
UploadVRDavid Heaney
At the World Economic Forum in Davos, Meta CTO Andrew Bosworth has finally made public statements about the VR layoffs and shutdowns, via a series of interviews.
One of the interviews was with veteran tech reporter Alex Heath. While Heath hasn't yet shared the interview (this is set to happen in the coming days), he has published an article with key quotes wherein Bosworth declares that "VR is growing less quickly than we hoped".
“We’re still continuing to invest heavily in this space, but obviously, VR is growing less quickly than we hoped,” Bosworth apparently told Heath. “And so you want to make sure that your investment is right-sized.”
According to Heath, Bosworth claimed that Meta has seen “really, really positive pickup” in Horizon Worlds on smartphones, and plans to double down on this with continued investment in Horizon on mobile.
“You've got a team that actually has product market fit in a huge market on mobile phones, and they're having to build everything twice. They're building it once for mobile phones, and building again for VR. There's a pretty easy way to increase their velocity: just let them build for mobile. So Horizon is very focused now on mobile — not exclusively, but almost exclusively,” Bosworth is quoted as saying.
Clip from Axios interview with Meta CTO Andrew Bosworth.
Another interview, available in full on YouTube, was conducted by Axios' chief technology correspondent Ina Fried.
In it, Bosworth gave a very similar explanation for Meta's shift in strategy.
"It's like any investment, you're gonna look at how you do over the course of years and you're gonna reinvest in some areas and trim your losses in others.
For us, we're seeing tremendous growth of our metaverse on mobile. You know, Horizon is this thing that started on VR headsets. But obviously there's much more users today on mobile phones. We've been pivoting over the last year to focus on the mobile market and it's going really well, and so you kinda wanna double down on that."
Bosworth also seemed to suggest that Meta's significant investment in the VR side of Horizon Worlds, and repeated pushes to convince Quest headset wearers to use it, came at "an expense of user experience".
"We're gonna let VR be what it is, what it does", Bosworth said. "We're gonna have focus a lot more on the third party content library, the ecosystem that's developed there."
That seems to suggest that Meta will pull back on pushing Horizon Worlds for VR users and on making its own content, leaving the content ecosystem to third-party developers and letting headset owners choose the content they want.















