Microsoft has laid off its industrial metaverse team consisting of around 100 employees. The team was focused on creating metaverse features in industrial settings.
Microsoft is the next big tech firm to cut back on its metaverse plans. The company announced that it was shutting down its industrial metaverse team, which was only established about four months ago. About 100 employees have been let go, according to the report.
This particular metaverse team was called the ‘Industrial Metaverse Core’ and focused on industrial settings. Specifically, it aimed to build interfaces for operating control systems in electrical power plants and robotics and transportation networks, according to The Information.
Microsoft is among several prominent technology companies that have carried out layoffs. Other firms in this category include Google, Amazon, Salesforce, and Meta. These actions have led some to believe that the era of big tech’s allure has ended.
Still, the big tech firms continue to make big inroads with their technological developments. Microsoft is the center of attention for ChatGPT, the revolutionary AI service that it funded. The company recently announced an integration of ChatGPT with its Edge browser.
Microsoft’s decision to shut down the metaverse team is interesting, given that it has shown enthusiasm for the niche. It has worked on its HoloLens mixed reality device for years, though there is no indication whether it will be commercially successful. Executives at the company have also described the sector’s significance as we head into an increasingly digital world.
Microsoft CEO Satya Nadella himself has talked about the benefits of the metaverse. Certainly, the acquisition of companies like Altspace VR and the ongoing acquisition of Activision Blizzard points to a metaverse strategy. However, Microsoft announced the decision to shutter the former last month.
Other companies have also tempered ambitions relating to the metaverse. Meta announced that it would shut down Crayta, which it purchased less than two years ago. The company is also closing Echo VR, a metaverse game popular in its ecosystem.
Meta is also on its own acquisition spree, winning a lawsuit against the FTC. Meta can now purchase Within, which the FTC thought was an anti-competitive practice.
BeInCrypto has reached out to company or individual involved in the story to get an official statement about the recent developments, but it has yet to hear back.