Meta Platforms announced a major strategic shift, deciding to sharply cut up to 30% of its 2026 Reality Labs budget (reducing spend by $4–$6 billion) to reallocate capital toward AI glasses and wearables, a move praised by analysts for improving ROI focus. * Meta also acquired Limitless, an AI wearables startup, to accelerate the development of “always-on” AI assistant devices. * Analysts estimate the budget cuts could generate $5–$6.5 billion in savings, which will support earnings growth and fund critical AI infrastructure investments. * The stock is trading slightly lower at $667.97 (-0.81%), consolidating recent gains driven by the cost discipline announcement.