Meta's Reality Labs posts $4.2 billion loss in first quarter
Meta is continuing to sink billions of dollars a quarter into the metaverse.
In its first-quarter earnings report on Wednesday, Meta said its Reality Labs unit recorded an operating loss of $4.2 billion in the period while bringing in $412 million in sales. Analysts were projecting an operating loss of $4.6 billion on revenue of $492.7 million.
Meta's Reality Labs unit is responsible for the company's Quest-branded virtual reality headsets and Ray-Ban Meta Smart Glasses. It's the key business unit that anchors CEO Mark Zuckerberg's plans to build a new computing platform involving digital worlds accessible via VR and augmented reality devices.
Reality Labs has reported cumulative losses of more than $60 billion since late 2020, including a loss of $3.85 billion in the first quarter of last year. In late 2021, Zuckerberg changed the name of his company from Facebook to Meta.
Wall Street has questioned Meta's big spending on the metaverse, which Zuckerberg has said could take many years to turn into a real business. The company must now also contend with sweeping new tariffs from President Donald Trump and the likely increase in costs that will follow, potentially leading to higher-priced devices.
Last week, Meta said that an unspecified number of Reality Labs employees were laid off. Those workers were part of the Oculus Studios unit, which creates VR and AR games and content for Quest VR headsets.
"Some teams within Oculus Studios are undergoing shifts in structure and roles that have impacted team size," a Meta spokesperson said in a statement about the cuts. "These changes are meant to help Studios work more efficiently on future mixed reality experiences for our growing audience, while still delivering great content for people today."
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
17 minutes ago
- Yahoo
Nexus Uranium Comments on Recent Uranium Market Developments
Vancouver, British Columbia--(Newsfile Corp. - June 5, 2025) - Nexus Uranium Corp. (CSE: NEXU) (OTCQB: GIDMF) (FSE: 3H1) ("Nexus" or the "Company") is pleased to provide an update on recent uranium market developments which positively impact the underlying fundamentals for uranium exploration, development and production. Recent market developments include the US Executive Order, spot market update, Small Modular Reactor (SMR) developments, and continued AI-driven power supply agreements, all of which have resulted in an overall improvement in the underlying uranium supply-demand fundamentals. Additionally, the Company is still awaiting pending geochemical assay results from the Winter 2025 drill program at its flagship Cree East project in the Athabasca Basin. Notable Uranium Market Developments: US Executive Order: Trump's Executive Order aims to revitalize the U.S. nuclear sector and restore domestic control over the uranium fuel cycle, establishing a national energy policy, accelerating reactor deployment, and rebuilds domestic fuel supply infrastructure. Strengthening Spot Price: Uranium spot prices have bounced off of 52-week lows of ~US$62/lb, rebounding to ~US$72/lb, on the back of improving sentiment and resumed utility activity. SMR Announcements: NuScale Power secured U.S. Nuclear Regulatory Commission (NRC) approval for its 77 MW reactor, making it the first reactor to earn NRC certification. AI-Driven Power Demand: Meta's recent 20-year supply deal continues the flurry of announcements from the likes of Google and Amazon. "The supply-demand fundamentals for uranium and clean, high-efficiency, scalable nuclear power remain as robust as ever," commented Jeremy Poirier, CEO of Nexus Uranium. "The US pronouncements and NRC's first SMR certification paves the way for significant expansion of nuclear development within the United States and ultimately for Canadian uranium explorers and developers given the reliance given the significant supply deficit for domestic production. Additionally, surging demand for AI and cloud computing puts increasingly greater requirements for clean, efficient, baseload power supply as evidenced by a string of tech-nuclear partnerships including the recent partnership between Meta and Constellation Energy." US Executive Order President Trump signed four executive orders (EOs) on May 23, 2025, intended to significantly boost U.S. deployment of advanced nuclear technologies through directives such as expediting regulatory review processes, promoting nuclear energy exports, and reforming the Nuclear Regulatory Commission. These included provisions for deployment at military installations, prioritizing the development of data centres, building a fuel bank of at least 20 tons of nuclear fuel, promoting nuclear exports, expanding capacity from 100 GW in 2024 to 400 GW by 2050, expediting timelines for project review and approval, and strengthening all aspects of the domestic supply chain. Spot Pricing Update Uranium futures rose to $71.9 per pound in early June, hovering near its highest level in over three months, and extending the rebound from eighteen-month lows in March as the possibility of political support for the nuclear sector outweighed the view of ample supply. Additionally, lack of clarity on future levies on uranium imports from Canada and Kazakhstan maintained the stress on the limited domestic capacity. SMR Developments NuScale Power has won design approval from the U.S. Nuclear Regulatory Commission (NRC) for its upgraded 77 megawatt-electric (MWe) small modular reactor (SMR), marking a key moment for the U.S. nuclear energy industry. This marks the first SMR design to earn NRC certification. Overall, SMR's allow for expedited development with scalable power with the footprint of a comparably sized conventional reactor. This announcement boosts the push for reliable, low-carbon energy as demand for cleaner electricity grows. AI-Driven Power Demand Facebook parent, Meta Platforms Inc., signed a 20-year power supply deal with Constellation Energy to help meet surging demand for artificial intelligence and other computing needs. This announcement is the latest in a string of tech-nuclear partnerships, driven by the expansion of AI, which includes Amazon, Google and Microsoft both investing in small modular reactors and long-term power supply agreements to power their fast-growing artificial intelligence platforms. About Nexus Uranium Corp. Nexus Uranium Corp. is a multi-commodity development company focused on advancing the Cree East uranium project in the Athabasca Basin in addition to its precious metals portfolio that includes the Napoleon gold project in British Columbia and a package of gold claims in the Yukon. The Cree East project is one of the largest projects within the Athabasca Basin of Saskatchewan spanning 57,752 hectares (142,708 acres) and has seen over $20 million in exploration to date. The Napoleon project comprises over 1,000 hectares and prospective for multiple forms of gold mineralization, with exploration in the area dating back to the 1970s with the discovery of high-grade gold. The Yukon gold projects are comprised of almost 8,000 hectares of quartz claims prospective for high-grade gold mineralization.. The technical content of this news release has been reviewed and approved by Warren D. Robb, (BC), a Director and VP Exploration of Nexus Uranium Corp. and a Qualified Person under National Instrument 43-101. -- FOR FURTHER INFORMATION PLEASE CONTACT: Jeremy PoirierChief Executive Officerinfo@ This news release includes certain statements and information that may constitute "forward-looking information" within the meaning of applicable Canadian securities laws. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends" or "anticipates", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should", "would" or "occur". All statements in this news release, other than statements of historical facts, including statements regarding future estimates, plans, objectives, timing, assumptions or expectations of future performance are forward-looking statements and contain forward-looking information, including, but not limited to, any planned exploration at the Cree East Project. Forward-looking statements are based on certain material assumptions and analysis made by the Company and the opinions and estimates of management as of the date of this news release, including, but not limited to the assumption that the Company will be successful in finalizing its planned drill program, including retaining a contractor to complete such program. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information, including, but not limited to: the risk that the conditions to closing of the proposed sale of the Company's interest in the Independence Project will not be satisfied and inherent risks associated with the mining industry and the results of exploration activities and development of mineral properties, stock market volatility and capital market fluctuations, general market and industry conditions, as well as those risk factors discussed in the Company's most recently filed management's discussion & analysis. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial outlook that are incorporated by reference herein, except in accordance with applicable securities laws. To view the source version of this press release, please visit
Wall Street Journal
an hour ago
- Wall Street Journal
Trump Wants His Presidential Library Set in Florida, Enticed by Free Land
Donald Trump is considering the campus of Florida Atlantic University for a presidential library, on a site where he has been offered free land, as planning begins for the MAGA mecca he eschewed during his first term. Trump and his advisers are planning a campaign to raise hundreds of millions of dollars for a library fund. One of the president's sons, Eric Trump, and one of his sons-in-law, Michael Boulos, recently established a nonprofit to support the library. More than $37 million from lawsuits involving ABC News and Meta Platforms, as well as tens of millions of leftover inauguration funds, are expected to fund construction of the complex, along with donors. Trump envisions turning a $400 million Boeing 747 jet—a gift from Qatar—into a tourist attraction at the library.
Yahoo
an hour ago
- Yahoo
Meta's Push Into Defense Tech Reflects Cultural Shift, CTO Says
(Bloomberg) -- Meta Platforms Inc. Chief Technology Officer Andrew Bosworth said that the 'tides have turned' in Silicon Valley and made it more palatable for the tech industry to support the US military's efforts. ICE Moves to DNA-Test Families Targeted for Deportation with New Contract The Global Struggle to Build Safer Cars NYC Residents Want Safer Streets, Cheaper Housing, Survey Says The Buffalo Architect Fighting for Women in Design There's long existed a 'silent majority' who wanted to pursue defense projects, Bosworth said during an interview at the Bloomberg Tech summit in San Francisco on Wednesday. 'There's a much stronger patriotic underpinning than I think people give Silicon Valley credit for,' he said. Silicon Valley was founded on military development and 'there's really a long history here that we are kind of hoping to return to, but it is not even day one,' Bosworth added. Meta announced a new partnership with defense contractor Anduril Industries Inc. last week to develop products for the US military, including an artificial intelligence-powered helmet with virtual and augmented reality features. Bosworth described Silicon Valley's new openness to work with the US military as a 'return to grace.' Bosworth is one of the company's most visible leaders. After serving in various engineering-focused roles over the last two decades, he now oversees the social media giant's Reality Labs unit. His team is focused on virtual and augmented reality devices, including its Ray-Ban Meta glasses and Quest VR headsets. 'History has its eyes on us,' Bosworth said, noting that he expects this year to be particularly consequential for his team. 'Do people adopt the technology or do they not?' he asked of the Reality Labs' products, suggesting that the market will determine their success. --With assistance from Sarah Frier. Cavs Owner Dan Gilbert Wants to Donate His Billions—and Walk Again YouTube Is Swallowing TV Whole, and It's Coming for the Sitcom Millions of Americans Are Obsessed With This Japanese Barbecue Sauce Is Elon Musk's Political Capital Spent? Trump Considers Deporting Migrants to Rwanda After the UK Decides Not To ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
