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Meta Scales Back Metaverse Ambitions as VR Industry Looks Ahead

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Meta has announced cuts to its metaverse operations after years of promoting virtual reality as the future of human interaction, signaling a major shift in the company’s strategy. The start of 2026 marked what many see as the final blow for the digital worlds once hailed by Mark Zuckerberg as the next big computing platform.

At the beginning of January, Meta laid off 10 percent of staff in its Reality Labs division, primarily employees involved in metaverse development, including data engineers, software engineers, and game developers. The company’s fourth-quarter earnings confirmed the financial strain: Reality Labs posted $6.2 billion in losses in Q4 and $19.1 billion for the full year. Zuckerberg told investors that while the metaverse is no longer the primary focus, Meta will continue to develop extended reality (XR) technologies, particularly AI-integrated wearables such as its Ray-Ban smart glasses.

Experts say Meta’s retreat does not spell the end of virtual reality. George Jijiashvili, senior principal analyst at Omdia, said the metaverse failed largely because the technology was not ready to support a mainstream consumer platform. “The vision of the platform did not coincide with the technological status quo,” he explained, noting that headsets, smart glasses, and other necessary hardware have yet to mature.

Per Ola Kristensson, a professor of interactive systems engineering at the University of Cambridge, emphasized the ergonomic and practical limitations of VR. In a 2022 study, participants working in VR headsets for a full 40-hour week reported frustration, visual fatigue, and lower productivity. “It’s not ergonomic,” Kristensson said. “If you want a sip of coffee, you have to move the helmet. Small, subtle things don’t work, which makes extended use uncomfortable.”

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Despite these challenges, researchers see opportunities in XR and augmented reality (AR). Kristensson noted that focusing on practical applications, such as AI-integrated AR glasses, could transform daily life. “Your glasses become your phone and an AI interface. They can project digital information into the physical world and interact with robotics,” he said.

Meta’s shift also mirrors trends in other virtual platforms. Kim Currier of the Decentraland Foundation said the decline of corporate-driven hype has allowed virtual worlds to become more community-focused. “There has been a clear shift away from corporate experimentation toward user-led activity,” she said, pointing to community events and meetups as examples of how engagement has become more genuine.

Gaming platforms like Roblox and Fortnite demonstrate that user-centric digital experiences can thrive without the spectacle of a centralized metaverse. Analysts suggest Meta’s pivot to mobile for its Horizon platform is a response to these successes. “Increasingly, our worlds are digital, more connected. People just didn’t want Meta’s 2021 version of the metaverse,” Jijiashvili said.

While Meta retreats from its original vision, experts say VR and XR technologies are likely to evolve in ways that are more practical, user-focused, and integrated with AI, opening new avenues for digital interaction beyond the high-profile metaverse experiment.

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Report Claims Meta Used Influencers and Doctors to Defend Teen Safety Features

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Meta enlisted parenting influencers, celebrities and medical professionals to help improve public perception of its child safety efforts amid mounting criticism over the impact of social media on young users, according to a new report released by the Tech Transparency Project (TTP).

The Washington-based research group said Meta promoted its Instagram “Teen Accounts” through a broad campaign involving online creators and health experts who shared supportive messages with followers while disclosing partnerships with the company.

The report argues the effort was designed to shape public opinion as Meta faces legal and political pressure over allegations that its platforms have failed to adequately protect minors from harmful content and exploitation.

Teen Accounts, introduced by Instagram for users under 17, include built-in safety measures intended to limit unwanted contact, restrict sensitive content and provide parents with additional supervision tools such as screen-time controls and privacy settings.

According to TTP, Meta invited hundreds of influencers, including parenting content creators known as “momfluencers,” to promotional events focused on the new features. The report alleges many participants later echoed Meta’s messaging on social media, sometimes using hashtags or disclosures indicating paid partnerships.

Among those identified was influencer and former reality television personality Sadie Robertson Huff, who praised Teen Accounts in a video shared with millions of followers.

“They have actually rolled out these new Teen Accounts that I think are absolutely incredible,” Robertson Huff said in a sponsored post highlighted in the report.

Other influencers mentioned included Alexia Delarosa, Noelle Downing and reality television figure Leroy Garrett, who reportedly posted positive comments after attending Meta events.

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Garrett defended his cooperation with the company in comments to CNN, saying discussions about online safety required cooperation from multiple groups to create a safer environment for children.

The report also identified several doctors, psychologists and therapists who publicly supported Teen Accounts. Some reportedly appeared as speakers at Meta-sponsored events.

Among them were adolescent medicine specialist Dr. Hina Talib and psychologist Dr. Ann-Louise Lockhart, both of whom disclosed financial relationships with Meta while sharing supportive posts about the platform’s safety measures.

Talib told researchers she insisted on using her own wording rather than company-provided messaging during her work with Meta.

Meta has not directly responded to the TTP report but told CNN it works with creators and parents to raise awareness about parental controls and online safety tools.

The report also claims Meta used influencers to support legislation that would shift responsibility for age verification onto app stores operated by companies such as Apple and Google. Meta has argued parents should approve minors’ app downloads and that app stores should verify users’ ages.

Critics of those proposals say app-store verification alone would not address wider concerns surrounding addictive features and harmful content on social media platforms.

The findings come as Meta continues to face lawsuits in the United States accusing the company of failing to protect children online, including allegations linked to exploitation and harmful platform design.

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Experts question Musk’s prediction of self-driving dominance within a decade

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Elon Musk has predicted that autonomous vehicles powered by artificial intelligence could account for nearly 90 percent of all driving within the next decade, but industry experts and researchers say major technological and regulatory obstacles make that timeline unlikely.

Speaking at the Samson International Smart Mobility Summit in Tel Aviv, Musk said self-driving technology would rapidly replace human drivers over the next five to 10 years.

“Probably 90 percent of all distance driven will be driven by the AI in a self-driving car,” Musk said, adding that manually driving a vehicle could become a niche activity within a decade.

The comments come as competition intensifies among companies developing autonomous driving systems, including Tesla, Waymo and several Chinese technology firms.

While advances in artificial intelligence have accelerated development in the sector since 2022, analysts say fully autonomous vehicles remain far from becoming mainstream.

Safety concerns continue to challenge the industry. Tesla recently recalled more than 200,000 vehicles in the United States over problems affecting rearview camera displays that regulators warned could increase crash risks.

Waymo has also faced setbacks. The company recalled around 3,800 robotaxis after identifying issues involving vehicles entering flooded roads at unsafe speeds.

Industry specialists say one of the biggest barriers remains what engineers call “long tail scenarios” — rare and unpredictable situations that autonomous systems struggle to interpret correctly.

Ali Kani, vice president of automotive at Nvidia, previously warned that such situations remain difficult for AI systems to manage consistently in real-world conditions.

One example occurred in San Francisco last year when Waymo temporarily suspended service during a citywide power outage. Several driverless vehicles reportedly became stranded after failing to interpret malfunctioning traffic lights.

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Research published by the World Economic Forum suggests fully autonomous personal vehicles are unlikely to become widespread before the mid-2030s. The report estimated that by 2035, only about 4 percent of new cars would feature complete self-driving capability.

Instead, experts expect gradual growth in robotaxi fleets and autonomous freight transport operating in controlled environments or specific urban areas.

Partially automated systems are already becoming more common. Level 2 driving technology, where vehicles can steer, brake and accelerate while drivers remain responsible for supervision, is now widely available in many markets.

Europe currently permits Level 2 systems and has approved limited Level 3 automation under certain conditions. In the United States and China, some cities have already introduced Level 4 robotaxi operations, where vehicles can operate without human intervention in designated environments.

The International Energy Agency said fully driverless Level 5 autonomy, capable of operating under all conditions without human involvement, is still “not currently in sight.”

The agency estimates the global robotaxi fleet could grow to between 700,000 and 3 million vehicles by 2035, concentrated mainly in large cities.

Analysts say autonomous driving technology will continue expanding in the coming years, though most expect human drivers to remain a central part of road transport for decades.

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European Nations Accelerate Military AI Integration Amid Rising Security Demands

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European countries are rapidly expanding the use of artificial intelligence in military operations, shifting from limited experimentation to integrating advanced AI systems into core defence strategies as governments respond to growing geopolitical tensions and evolving battlefield demands.

The latest development came this week when Germany and Ukraine launched the “Brave Germany” programme, a joint initiative expected to include around 5,000 AI-enabled medium-range strike drones. The agreement highlights Europe’s increasing focus on combining artificial intelligence with defence technology as nations seek faster decision-making, improved battlefield awareness and stronger deterrence capabilities.

Defence analysts say several European states, particularly Germany, France, the United Kingdom and Ukraine, are now leading efforts to incorporate AI into military planning, surveillance and weapons systems.

Artificial intelligence has already been used by European armed forces for more than a decade in areas such as logistics, maintenance and personnel management. Researchers say progress accelerated around 2015 as military planners recognised the growing potential of AI technologies.

According to experts at the Stockholm International Peace Research Institute, current investment is largely centred on two areas: semi-autonomous weapons systems and AI-assisted decision support systems. These technologies are designed to improve operational planning, battlefield management and tactical analysis while still leaving final decisions in human hands.

Germany has emerged as one of the most active countries in the sector. In recent years, Berlin signed agreements with Munich-based defence technology company Helsing to develop AI systems for the Future Combat Air System, Europe’s next-generation fighter jet programme. Germany has also partnered with Swedish defence firm Saab to integrate AI into Eurofighter electronic warfare systems.

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Another major contract worth €269 million will allow Helsing to manufacture AI-enabled loitering munitions, commonly known as kamikaze drones, for German and NATO forces.

The United Kingdom has also expanded its AI ambitions through the Asgard programme, introduced in 2025. The project combines reconnaissance systems, sensors, weapons and AI-supported decision tools aimed at improving battlefield coordination and response times.

Britain has also strengthened ties with American software company Palantir Technologies, which pledged investments of up to £1.5 billion to support AI development in the country.

France, meanwhile, is focusing on building independent European AI capabilities. Paris has partnered with French AI firm Mistral AI to provide advanced AI models and software for military and public sector use, reflecting broader European efforts to reduce reliance on American technology companies.

European Union institutions are also moving forward with AI defence projects under the European Defence Fund. Recent funding rounds included projects involving sovereign European AI support systems, military-focused large language models and AI-assisted artillery technologies.

Despite rapid progress, analysts warn that Europe still faces challenges in turning plans into operational systems quickly enough. Defence experts say bureaucratic procedures and slower political decision-making could delay deployment as other global powers continue to expand their military AI capabilities at a faster pace.

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