- Tram Ho
Reports show that the company "augmented reality" "Magic Leap" has laid off about 1,000 employees and abandoned its focus on consumer devices. An anonymous source from Bloomberg said this information, and Magic Leap also confirmed on the website the dismissal of an unspecified number of company employees.
" This happens at every level of the company, from people who report directly to me to factory employees ." CEO Rony Abovitz said on the website.
The Bloomberg report said that in addition to laying off half of its workforce, the company abandoned its consumer-focused business, including video game and entertainment applications. They will focus entirely on the business sector, possibly including partnering with a well-known healthcare company.
Mr. Abovitz confirmed the shift to the business sector with the statement: " Recent changes in the economic environment have reduced the available capital and the desire for long-term investments ." And so " short-term revenue opportunities are now focused on the business segment ."
This is helping accelerate the transition of Magic Leap – the company has raised more than $ 2 billion in investment since 2010 to date. While it was expected to create a breakthrough for augmented reality, the company's augmented reality wearables did not meet that expectation.
CEO of Rony Abovitz of Magic Leap.
Last year, the company tweaked its wearables to become more relevant to business customers, and since the Covid-19 pandemic began, they have been trying to promote the $ 2,300 Magic Leap One. as an effective remote working tool. Indeed, augmented and virtual reality device companies have achieved more success in areas such as health care, manufacturing and training, rather than personal computing devices.
However, the whole industry has gone down in recent years, with small companies like ODG and Meta Folding having to sell themselves. One of the few companies that still actively promote devices to ordinary users is Nreal, with the former founder who worked at Magic Leap.
So far, the future of Magic Leap is becoming more and more uncertain, but the company says it is still preparing for the launch of Magic Leap 2. " Based on difficult and challenging circumstances As businesses are facing, demand for technology like ours is increasing and we are currently in the process of negotiating strategic partnerships that bring in revenue to enhance value for Magic Leap technology platform on the enterprise market . "
Refer to The Verge
Source : Genk