Meta Restructures Reality Labs: A Focus on AR and the Metaverse

Meta, the parent company of social media giants Facebook, Instagram, and WhatsApp, has made a significant move in restructuring its hardware division, Reality Labs. This restructuring, as reported by The Verge’s Alex Heath, marks the most significant reorganisation since Meta’s rebranding in 2020, showcasing the company’s evolving strategy with a focus on augmented reality (AR) and the Metaverse.

The restructuring of Reality Labs now divides the division into two primary groups: Metaverse and Wearables. The Metaverse group will encompass the Quest headset line, Horizon (Meta’s social network), and related technologies, while the Wearables group will include the rest of Meta’s hardware efforts, including its smart glasses collaboration with Ray-Ban.

While the restructuring has resulted in layoffs, the exact number remains undisclosed by Meta. However, sources suggest that the cuts are relatively small and focused on redundant leadership roles due to the new organisational structure.

In an internal memo obtained by Heath, Meta CTO Andrew “Boz” Bosworth outlined the rationale behind the changes, emphasizing Meta’s commitment to both AR and the Metaverse. Bosworth highlighted the success of Ray-Ban Meta glasses and expressed excitement for the future of Meta’s AR roadmap.

The decision to move the Quest headset line to the Metaverse group reflects the distinct nature of the technology from Meta’s AR hardware. The memo also underscores Meta’s dedication to Horizon, despite its slow adoption rate thus far.

These changes signal a much-needed streamlining of Reality Labs, placing key leadership roles in the hands of Alex Himel and Vishal Shah. Himel will head the Wearables group, while Shah will oversee both Horizon and the Quest line.

Meta’s commitment to AR remains strong, with plans to unveil more details about upcoming AR glasses later this year. The next generation of Ray-Ban glasses with a display is anticipated for release next year, showcasing Meta’s continued innovation in the AR space.

Bosworth’s memo emphasizes the importance of execution over organizational structure, aiming to reduce overhead and foster a more unified approach to serving customers across teams.

Overall, Meta’s restructuring of Reality Labs reflects its forward-thinking approach to AR and the Metaverse, setting the stage for continued innovation and growth in the tech industry.