Meta is laying off about 700 people at Facebook and its VR division, Reality Labs, as part of a strategy to shift towards AI rather than focusing on the metaverse. This comes after Meta cut about 1,500 workers in January, mostly from Reality Labs. The layoffs come as Meta seeks to shift its focus towards AI, with CEO Mark Zuckerberg initially believing the future of the Metaverse was the future. However, the need for a giant computer to be placed on a person's face is a significant barrier for mass adoption. The company has also suffered two legal defeats in the past two days, including a $375 million judgment by the New Mexico Attorney General for misleading consumers about the safety of its products and the potential harm to children, and a $3 million award by a woman who claimed she became addicted to Instagram and YouTube as a child.