Meta Platforms (Facebook)

META

Market cap $1.59T

Michael Burry, the famously contrarian investor, issued a scathing critique following Meta Platforms, Inc. (NASDAQ: META) following CEO Mark Zuckerberg's announcement of a massive initiative to build hundreds of gigawatts of AI capacity.

The first Big Tech layoffs of 2026 have happened. This week, Facebook owner Meta Platforms informed employees that up to 1,500 positions in its Reality Labs division would be eliminated.

Meta plans to cut roles in its metaverse unit as it pivots to AI-devices. Nancy Tengler, CEO and CIO of Laffer Tengler Investments, who has been bearish on Meta, discusses why she supports a move away from the metaverse with Caroline Hyde and Ed Ludlow on "Bloomberg Tech.

Meta and eyewear maker EssilorLuxottica are reportedly considering doubling their capacity to produce Ray-Ban Meta smart glasses from 10 million to 20 million by the end of the year. If demand continues to grow, they could boost the capacity to 30 million, Bloomberg reported Tuesday (Jan. 13), citing unnamed sources.

Meta Platforms and EssilorLuxottica are discussing potentially doubling production capacity for AI-powered smart glasses by the end of this year. Meta previously announced it is cutting more than 1,000 jobs from the Reality Labs division as part of a plan to redirect resources toward AI wearables and phone features.

AI investors remain bullish on AI stocks, with nine out of 10 planning to maintain or increase their positions. Nvidia has a 92% share of the GPU market and benefits from AI data center spending.

Meta Platforms (NASDAQ: META) is reportedly laying off 10% of its Reality Labs workforce, highlighting the ongoing challenges within its metaverse division. While the segment has struggled with massive financial losses and stagnant adoption, Meta's strategic pivot toward AI has begun to reshape investor expectations.

Michael Zezas, deputy head of global research at Morgan Stanley, discusses the outlook for Magnificent Seven stocks and the performance of US mid- and small-caps. He speaks on Bloomberg Television.

Meta and EssilorLuxottica are considering doubling the production capacity of their artificial intelligence-powered smart glasses to 20 million units annually by the end of this year, Bloomberg News reported on Tuesday.

The cuts are expected to hit teams working on virtual-reality headsets and Meta's VR-based social network.