Meta Shifts Metaverse Strategy Towards AI Focus
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 18 2026
0mins
Should l Buy META?
Source: Yahoo Finance
- Metaverse Strategy Shift: Meta announced the removal of access to Horizon Worlds from Quest headsets, preventing users from building, publishing, or updating virtual environments, indicating a significant de-emphasis on the metaverse in favor of AI initiatives.
- Mobile-First Transition: Horizon Worlds will only be accessible through Meta's mobile app, reflecting a strategic pivot towards mobile experiences that align with changing user behaviors and preferences.
- Job Cuts and Restructuring: Meta has laid off 1,000 employees within Reality Labs and shut down parts of its virtual reality gaming and content operations, highlighting a major shift in resource allocation aimed at improving operational efficiency.
- Future Product Focus: Leadership has indicated a stronger emphasis on mobile-first experiences and AI-related wearable products, such as Ray-Ban Meta glasses, suggesting a redefinition of Meta's long-term growth narrative in the evolving tech landscape.
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Analyst Views on META
Wall Street analysts forecast META stock price to rise
44 Analyst Rating
37 Buy
6 Hold
1 Sell
Strong Buy
Current: 678.620
Low
655.15
Averages
824.71
High
1117
Current: 678.620
Low
655.15
Averages
824.71
High
1117
About META
Meta Platforms, Inc. is building human connections, powered by artificial intelligence and immersive technologies. The Company's products enable people to connect and share with friends and family through mobile devices, personal computers, virtual reality (VR) and mixed reality (MR) headsets, augmented reality (AR), and wearables. It also helps people discover and learn about what is going on in the world around them, enabling people to share their experiences, ideas, photos, videos, and other content with audiences ranging from their closest family members and friends to the public at large. The Company's segments include Family of Apps (FoA) and Reality Labs (RL). FoA segment includes Facebook, Instagram, Messenger, WhatsApp and Threads. RL segment includes its virtual, augmented, and mixed reality related consumer hardware, software and content. Its product offerings in VR include its Meta Quest devices, as well as software and content available through the Meta Horizon Store.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Operating Income Outlook: Despite the high capital expenditures, Meta expects its operating income in 2026 to exceed 2025 levels, while Amazon's first-quarter operating income guidance ranges from $16.5 billion to $21.5 billion, indicating growth potential even amid new project cost pressures.
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