Meta Holds Back Team Budget as it Plans Another Layoff

On Saturday, Facebook parent, Meta, reported a delay in the final budgets of its multiple teams while they brace for a new round of layoffs. Its stock price went down by -2.12% to $174.15 per share on February 10. However, it is anticipated to improve by 0.14% to $174.40 apiece in the upcoming session.

In recent weeks, the budget and future headcount factors remained unclear.

Moreover, Meta announced that it anticipates the 2023 expenses will be between $89.00 billion and $95.00 billion. CEO Mark Zuckerberg looked forward to the year, emphasizing the importance of efficiency.

Previously, the firm cut off more than 11,000 employees, equivalent to 13.00% of the workforce, back in November. Other tech companies, like Amazon and Microsoft, took the same route due to the economic downturn.

Furthermore, Meta delays finalizing its budgets, and the possible decrease in the number of employees show cost-cutting priorities. These actions from the entity are due to its efforts to reposition itself as a metaverse. Also, it wants to focus significantly on virtual and augmented reality technology. Its budget cuts and job losses will affect its long-term goals as it shifts focus toward it.

In addition, the term metaverse refers to a virtual environment where people can interact through gaming, socializing, and commerce.

Andrew Bosworth Terminated Leaker from Meta

Meta CTO, Andrew Bosworth, told the employees that a worker leaked information about its virtual reality headsets.

Based on the report, they tracked down and cut off the employee after a months-long investigation. According to analysts, the terminated leaker was a third-party contractor with the company. Besides, details and sketches of their unannounced VR headsets have been leaked, which are rumored to be called Quest 3.

Compared to the leakage, Meta has a more immense issue with this kind of problem in the business than this one worker. Likewise, Quest 3 was not the first similar issue the firm failed to prevent.