Meta CEO Mark Zuckerberg claims losses within the division have likely peaked.

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Meta's Reality Labs division lost $19.19 billion in 2025, bringing total losses to $83.55 billion over six years. Despite the mounting losses and recent studio closures (including Sanzaru Games, Twisted Pixel, and Armature Studio), Meta remains committed to the mixed reality market. The company is rebalancing its portfolio to invest 70% in wearables like AI glasses and only 30% in VR and Quest headsets. CEO Mark Zuckerberg expects losses to peak this year before gradually declining, though the company acknowledges VR adoption has been slower than anticipated.

Meta retains 'optimism' in VR despite massive Reality Labs losses