Meta has begun laying off more than 1,000 employees from its Reality Labs division as the company redirects resources away from virtual reality and metaverse products toward AI wearables and smartphone features. The cuts amount to roughly 10% of Reality Labs' 15,000-person workforce, according to an internal post from CTO Andrew Bosworth reviewed by Bloomberg. Reality Labs has lost more than $70 billion since the start of 2021, and top executives discussed budget cuts as deep as 30% for the metaverse group in December. Meta plans to continue developing its Horizon metaverse platform, but the focus will shift almost exclusively to mobile phones rather than the fully immersive VR headsets the company originally envisioned.

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Yann LeCun, Meta's outgoing chief AI scientist and one of the pioneers credited with laying the groundwork for modern AI, has acknowledged that the company's Llama 4 language model had its benchmark results manipulated before its April 2025 release. In an interview with the Financial Times, LeCun said the "results were fudged a little bit" and that the team "used different models for different benchmarks to give better results." Llama 4 was widely criticized as a flop at launch, and the company faced accusations of gaming benchmarks to make the model appear more capable than it was. LeCun said CEO Mark Zuckerberg was "really upset and basically lost confidence in everyone who was involved" in the release. Zuckerberg subsequently "sidelined the entire GenAI organisation," according to LeCun. "A lot of people have left, a lot of people who haven't yet left will leave." LeCun himself is departing Meta after more than a decade to start a new AI research venture called Advanced Machine Intelligence Labs. He described the new hires brought in for Meta's superintelligence efforts as "completely LLM-pilled" -- a technology LeCun has repeatedly called "a dead end when it comes to superintelligence."

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Instagram head Adam Mosseri closed out 2025 by acknowledging what many have long suspected: the era of trusting photographs as accurate records of reality is over, and the platform he runs will need to fundamentally adapt to an age of "infinite synthetic content." In a slideshow posted to Instagram, Mosseri wrote that for most of his life he could safely assume photographs or videos were largely accurate captures of moments that happened, adding that this is clearly no longer the case. He predicted a shift from assuming what we see is real by default to starting with skepticism and paying attention to who is sharing something and why.

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