Meta halts hiring, hints at layoffs, as Metaverse development accrues losses


Meta’s pivot to the Metaverse is an expensive venture, one that is resulting in billions lost every quarter. With Meta years away from releasing its true virtual world, the company may be forced to downsize to keep the boat rolling.

Why has Meta stopped hiring?

Via The Drum, Meta CEO Mark Zuckerberg has warned employees of an upcoming economic downturn. While the Facebook parent company has enjoyed over a decade of exponential growth, it looks like the graphs are turning downward.

To start, the company’s recent goal of hiring 10,000 engineers for Metaverse development is slashed. Instead, the company is now looking to hire around 6,000 engineers, 40% less than needed.

In audio acquired of a Zuckerberg speech, the CEO explained that he has “aggressive goals” for the company. The CEO claimed that the rough future will weed out any employees that shouldn’t be there. He said:

“Part of my hope by raising expectations and having more aggressive goals, and just kind of turning up the heat a little bit, is that I think some of you might decide that this place isn’t for you, and that self-selection is OK with me.”

Zuckerberg is said to be upset as the company’s slow Metaverse development. With the company’s next big product years away, the CEO is looking to blame anything on its developmental length. For example, the CEO is said to be currently blaming the war in Ukraine of his company’s failings.

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All in on The Metaverse might be a mistake

Zuckerberg’s focus entirely on the Metaverse may not be the best move for Meta. After all, the company is piling on losses for a technology product that many are simply not interested in.

To put it in perspective, the rest of Meta’s suite of products were successful in a financial sense. Only the Metaverse section of the company, now the most expensive, is collecting huge losses.

Maybe, one day, Meta will realise that many are not for the company’s Metaverse. While many are into its virtual reality hardware, the company’s software is far from ideal.

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