Facebook

Meta's Oversight Board Takes Up Permanent Bans In Landmark Case (techcrunch.com) 24

An anonymous reader quotes a report from TechCrunch: Meta's Oversight Board is tackling a case focused on Meta's ability to permanently disable user accounts. Permanent bans are a drastic action, locking people out of their profiles, memories, friend connections, and, in the case of creators and businesses, their ability to market and communicate with fans and customers. This is the first time in the organization's five-year history as an oversight body that permanent account bans have been a subject of the Oversight Board's focus, the organization notes.

The case being reviewed isn't exactly one of an everyday user. Instead, the case involves a high-profile Instagram user who repeatedly violated Meta's Community Standards by posting visual threats of violence against a female journalist, anti-gay slurs against politicians, content depicting a sex act, allegations of misconduct against minorities, and more. The account had not accumulated enough strikes to be automatically disabled, but Meta made the decision to permanently ban the account. The Board's materials didn't name the account in question, but its recommendations could impact others who post content that targets public figures with abuse, harassment, and threats, as well as users who have their accounts permanently banned without receiving transparent explanations.

Meta referred this specific case to the Board, which included five posts made in the year before the account was permanently disabled. The Board says it's looking for input about several key issues: how permanent bans can be processed fairly, the effectiveness of its current tools to protect public figures and journalists from repeated abuse and threats of violence, the challenges of identifying off-platform content, whether punitive measures effectively shape online behaviors, and best practices for transparent reporting on account enforcement decisions. [...] Whether the Oversight Board has any real sway to address issues on Meta's platform continues to be debated, of course. [...] After the Oversight Board issues its policy recommendations to Meta, the company has 60 days to respond. The Board is also soliciting public comments on this topic.
The report notes that Meta's Oversight Board is able to overturn individual moderation decisions and offer recommendations, but largely sidelined from major policy shifts driven by Mark Zuckerberg.
Games

Meta Closes Three VR Studios As Part of Its Metaverse Cuts (uploadvr.com) 29

Meta is shutting down three acquired VR studios as part of Reality Labs layoffs and a strategic pivot away from VR content toward AI-powered smart glasses. UploadVR reports: Meta shut down Twisted Pixel Games (Deadpool VR), Sanzaru Games (Asgard's Wrath), and Armature Studio (Resident Evil 4 VR). [...] Twisted Pixel Games was founded in 2006 and mostly made Xbox games published by Microsoft for the first decade of its existence. In fact, Microsoft owned the studio from 2011 until 2015, when it became an independent company again. On contract from Facebook, between 2017 and 2019 Twisted Pixel released four VR games: Wilson's Hearth (Rift); B-Team (Go/Quest); Defector (Rift); and Path of the Warrior (Rift/Quest). In 2022, Twisted Pixel Games was acquired by Meta. And just two months ago, it released what it had been working on since then: Deadpool VR, the latest Quest-exclusive VR game. [...]

Sanzaru Games was also founded in 2006, and made a combination of its own games and contract titles for companies such as Sony, porting the original God of War series to PS Vita. Sanzaru Games was also contracted by Facebook to build VR games for the Oculus Rift and its Touch controllers, between 2016 and 2019: Ripcoil (2016); VR Sports Challenge (2016); Marvel Powers United VR (2018); and Asgard's Wrath (2019). In 2020, Sanzaru Games was acquired by Facebook, and in 2023 released Asgard's Wrath 2, taking the core essence of Asgard's Wrath to Quest 2 and Quest 3 standalone, with a semi-open world and a campaign more than 60 hours long. Exactly one year ago, Sanzaru released the last major content update for Asgard's Wrath 2, stating that it was now working on the "next big thing" with no detail released on what that would be before the studio closed.

Founded in 2008, Armature Studio was mainly a porting studio, bringing PC titles to consoles and console titles to PS Vita. Like Twisted Pixel and Sanzaru, Armature too was contracted by Facebook to build early consumer VR games: Fail Factory (2017); Sports Scramble (2019); and Resident Evil 4 VR (2021). Armature was acquired by Meta in 2022, and many VR gamers had been eagerly anticipating what it had been working on since. Whatever it was, Armature too is now shut down.

AI

Meta Plans To Cut Around 10% of Employees In Reality Labs Division 33

Meta plans to cut roughly 10% of staff in its Reality Labs division, with layoffs hitting metaverse-focused teams hardest. Reuters reports: The cuts to Reality Labs, which has roughly 15,000 employees, could be announced as soon as Tuesday and are set to disproportionately affect those in the metaverse unit who work on virtual reality headsets and virtual social networks, the report said. [...] Meta Chief Technology Officer Andrew Bosworth, who oversees Reality Labs, has called a meeting on Wednesday and has urged staff to attend in person, the NYT reported, citing a memo. [...]

The metaverse had been a massive project spearheaded by CEO Mark Zuckerberg, who prioritized and spent heavily on the venture, only for the business to burn more than $60 billion since 2020. [...] The report comes as the Facebook-parent scrambles to stay relevant in Silicon Valley's artificial intelligence race after its Llama 4 model met with a poor reception.
AI

Meta Signs Deals With Three Nuclear Companies For 6+ GW of Power 28

Meta has signed long-term nuclear power deals totaling more than 6 gigawatts to fuel its data centers: "one from a startup, one from a smaller energy company, and one from a larger company that already operates several nuclear reactors in the U.S," reports TechCrunch. From the report: Oklo and TerraPower, two companies developing small modular reactors (SMR), each signed agreements with Meta to build multiple reactors, while Vistra is selling capacity from its existing power plants. [...] The deals are the result of a request for proposals that Meta issued in December 2024, in which Meta sought partners that could add between 1 to 4 gigawatts of generating capacity by the early 2030s. Much of the new power will flow through the PJM interconnection, a grid which covers 13 Mid-Atlantic and Midwestern states and has become saturated with data centers.

The 20-year agreement with Vistra will have the most immediate impact on Meta's energy needs. The tech company will buy a total of 2.1 gigawatts from two existing nuclear power plants, Perry and Davis-Besse in Ohio. As part of the deal, Vistra will also add capacity to those power plants and to its Beaver Valley power plant in Pennsylvania. Together, the upgrades will generate an additional 433 MW and are scheduled to come online in the early 2030s.

Meta is also buying 1.2 gigawatts from young provider Oklo. Under its deal with Meta, Oklo is hoping to start supplying power to the grid as early as 2030. The SMR company went public via SPAC in 2023, and while Oklo has landed a large deal with data center operator Switch, it has struggled to get its reactor design approved by the Nuclear Regulatory Commission. If Oklo can deliver on its timeline, the new reactors would be built in Pike County, Ohio. The startup's Aurora Powerhouse reactors each produce 75 megawatts of electricity, and it will need to build more than a dozen to fulfill Meta's order. TerraPower is a startup co-founded by Bill Gates, and it is aiming to start sending electricity to Meta as early as 2032.
AI

Meta Just Bought Manus, an AI Startup Everyone Has Been Talking About 34

Meta has agreed to acquire viral AI agent startup Manus, "a Singapore-based AI startup that's become the talk of Silicon Valley since it materialized this spring with a demo video so slick it went instantly viral," reports TechCrunch. "The clip showed an AI agent that could do things like screen job candidates, plan vacations, and analyze stock portfolios. Manus claimed at the time that it outperformed OpenAI's Deep Research." From the report: By April, just weeks after launch, the early-stage firm Benchmark led a $75 million funding round that assigned Manus a post-money valuation of $500 million. General partner Chetan Puttagunta joined the board. Per Chinese media outlets, some other big-name backers had already invested in Manus at that point, including Tencent, ZhenFund, and HSG (formerly known as Sequoia China) via an earlier $10 million round.

Though Bloomberg raised questions when Manus started charging $39 or $199 a month for access to its AI models (the outlet noted the pricing seemed "somewhat aggressive... for a membership service still in a testing phase,") the company recently announced it had since signed up millions of users and crossed $100 million in annual recurring revenue. That's when Meta started negotiating with Manus, according to the WSJ, which says Meta is paying $2 billion -- the same valuation Manus was seeking for its next funding round.

For Zuckerberg, who has staked Meta's future on AI, Manus represents something new: an AI product that's actually making money (investors have grown increasingly twitchy about Meta's $60 billion infrastructure spending spree). Meta says it'll keep Manus running independently while weaving its agents into Facebook, Instagram, and WhatsApp, where Meta's own chatbot, Meta AI, is already available to users.
AI

Italy Tells Meta To Suspend Its Policy That Bans Rival AI Chatbots From WhatsApp 4

Italy's antitrust regulator Italian Competition Authority ordered Meta to suspend a policy that blocks rival AI chatbots from using WhatsApp's business APIs, citing potential abuse of market dominance. "Meta's conduct appears to constitute an abuse, since it may limit production, market access, or technical developments in the AI Chatbot services market, to the detriment of consumers," the Authority wrote. "Moreover, while the investigation is ongoing, Meta's conduct may cause serious and irreparable harm to competition in the affected market, undermining contestability." TechCrunch reports: The AGCM in November had broadened the scope of an existing investigation into Meta, after the company changed its business API policy in October to ban general-purpose chatbots from being offered on the chat app via the API. Meta has argued that its API isn't designed to be a platform for the distribution of chatbots and that people have more avenues beyond WhatsApp to use AI bots from other companies. The policy change, which goes into effect in January, would affect the availability of AI chatbots from the likes of OpenAI, Perplexity, and Poke on the app.
Linux

Meta Is Using The Linux Scheduler Designed For Valve's Steam Deck On Its Servers (phoronix.com) 17

Phoronix's Michael Larabel writes: An interesting anecdote from this month's Linux Plumbers Conference in Tokyo is that Meta (Facebook) is using the Linux scheduler originally designed for the needs of Valve's Steam Deck... On Meta Servers. Meta has found that the scheduler can actually adapt and work very well on the hyperscaler's large servers. [...]

The presentation at LPC 2025 by Meta engineers was in fact titled "How do we make a Steam Deck scheduler work on large servers." At Meta they have explored SCX_LAVD as a "default" fleet scheduler for their servers that works for a range of hardware and use-cases for where they don't need any specialized scheduler. They call this scheduler built atop sched_ext as "Meta's New Default Scheduler."

LAVD they found to work well across the growing CPU and memory configurations of their servers, nice load balancing between CCX/LLC boundaries, and more. Those wishing to learn more about Meta's use and research into SCX-LAVD can find the Linux Plumbers Conference presentation embedded below along with the slide deck (PDF).

Hardware

Meta 'Pauses' Third-Party Headset Program (roadtovr.com) 22

Meta has paused its third-party Horizon OS headset program, effectively canceling planned VR headsets from Asus and Lenovo as it refocuses on "building the world-class first-party hardware and software needed to advance the VR market." Road to VR reports: A little over a year and a half ago, Meta made an "industry-altering announcement," as I called the move in my reporting: the company was rebranding the Quest operating system to 'Horizon OS' and announced it was working with select partners to launch third-party VR headsets powered by the operating system. Meta specifically named Asus and Lenovo as the first partners it was working with to build new Horizon OS headsets. Asus was said to be building an "all-new performance gaming headset," while Lenovo was purportedly working on "mixed reality devices for productivity, learning, and entertainment."

But as we've now learned, neither headset is likely to see the light of day. Meta say it has frozen the third-party Horizon OS headset program. "We have paused the program to focus on building the world-class first-party hardware and software needed to advance the VR market," a Meta spokesperson told Road to VR. "We're committed to this for the long term and will revisit opportunities for 3rd-party device partnerships as the category evolves."

Advertising

Meta Tolerates Rampant Ad Fraud From China To Safeguard Billions In Revenue (reuters.com) 54

A Reuters investigation found that Meta knowingly tolerated large volumes of scam and illegal ads from China worth billions in revenue. Reuters reports: Though China's authoritarian government bans use of Meta social media by its citizens, Beijing lets Chinese companies advertise to foreign consumers on the globe-spanning platforms. As a result, Meta's advertising business was thriving in China, ultimately reaching over $18 billion in annual sales in 2024, more than a tenth of the company's global revenue. But Meta calculated that about 19% of that money -- more than $3 billion -- was coming from ads for scams, illegal gambling, pornography and other banned content, according to internal Meta documents reviewed by Reuters.

The documents are part of a cache of previously unreported material generated over the past four years by teams including Meta's finance, lobbying, engineering and safety divisions. The cache reveals Meta's efforts over that period to understand the scale of abuse on its platforms and the company's reluctance to introduce fixes that could undermine its business and revenues. The documents show that Meta believed China was the country of origin of roughly a quarter of all ads for scams and banned products on Meta's platforms worldwide. Victims ranged from shoppers in Taiwan who purchased bogus health supplements to investors in the United States and Canada who were swindled out of their savings. "We need to make significant investment to reduce growing harm," Meta staffers warned in an internal April 2024 presentation to leaders of its safety operations.

To that end, Meta created an anti-fraud team that went beyond previous efforts to monitor scams and other banned activity from China. Using a variety of stepped-up enforcement tools, it slashed the problematic ads by about half during the second half of 2024 -- from 19% to 9% of the total advertising revenue coming from China. Then Meta Chief Executive Mark Zuckerberg weighed in. "As a result of Integrity Strategy pivot and follow-up from Zuck," a late 2024 document notes, the China ads-enforcement team was "asked to pause" its work. Reuters was unable to learn the specifics of the CEO's involvement or what the so-called "Integrity Strategy pivot" entailed. But after Zuckerberg's input, the documents show, Meta disbanded its China-focused anti-scam team. It also lifted a freeze it had introduced on granting new Chinese ad agencies access to its platforms. One document shows that Meta shelved yet other anti-scam measures that internal tests had indicated would be effective. The document didn't detail the specifics of those measures.

Meta took these steps even as an outside consultant it hired produced research that warned "Meta's own behavior and policies" were fostering systemic corruption in the Chinese market for ads targeting users in other countries, additional documents show. The upshot: Within a few months of Meta's brief crackdown, a new crop of Chinese advertising agencies was flooding Facebook and Instagram with prohibited ads. By mid-2025, banned ads climbed back to about 16% of Meta's China revenue. Rob Leathern, who was a senior director of product management at Facebook until 2020 and is no longer at the company, said the scale of predatory advertising revealed in the documents represents a major breakdown in consumer protections at the social media giant. "The levels that you're talking about are not defensible," he said of the percentage of abusive ads. "I don't know how anyone could think this is okay."

EU

Meta Pledge To Use Less Personal Data For Ads Gets EU Nod, Avoids Daily Fines (reuters.com) 17

An anonymous reader quotes a report from Reuters: Meta's proposal to use less personal data for targeted advertising in its pay-or-consent model that will be rolled out next month won the approval of EU antitrust regulators on Monday, signaling the company will not face daily fines after all. [...] The U.S. tech giant has been locked in discussions with the European Commission after getting hit with a $233 million fine in April for breaching the Digital Markets Act aimed at reining in the power of Big Tech. The violation covered Facebook and Instagram in the period from November 2023 to November 2024, after which Meta tweaked its pay-or-consent model to use less personal data for targeted advertising.

The EU executive has been examining the changes to see if they comply with the DMA, with Meta risking daily fines of as much as 5% of its average daily worldwide turnover if found to be still in breach of the law. The tweaks are in wording, design and transparency to remind users of the two options. Meta did not plan on any substantial changes to its November proposal despite the risk of EU fines, people with direct knowledge of the matter had told Reuters. The Commission, which acts as the EU competition enforcer, acknowledged Meta's November proposal, saying that it will monitor the new ad model and seek feedback, with no more talk of periodic fines. "Meta will give users the effective choice between consenting to share all their data and seeing fully personalized advertising, and opting to share less personal data for an experience with more limited personalized advertising," the Commission said in a statement.

The Almighty Buck

Meta Confirms 'Shifting Some' Funding 'From Metaverse Toward AI Glasses' (uploadvr.com) 22

Meta has officially confirmed it is shifting investment away from the metaverse and VR toward AI-powered smart glasses, following a Bloomberg report of an up to 30% budget cut for Reality Labs. "Within our overall Reality Labs portfolio we are shifting some of our investment from Metaverse toward AI glasses and Wearables given the momentum there," a statement from Meta reads. "We aren't planning any broader changes than that." From the report: Following Bloomberg's report, other mainstream news outlets including The New York Times, The Wall Street Journal, and Business Insider have published their own reports corroborating the general claim, with slightly differing details...

Business Insider's report suggests that the cuts will primarily hit Horizon Worlds, and that employees are facing "uncertainty" about whether this will involve layoffs. One likely cut BI's report mentions is the funding for third-party studios to build Horizon Worlds content. The New York Times report, on the other hand, seems more definitive in stating that these cuts will come via layoffs.
The Reality Labs division "has racked up more than $70 billion in losses since 2021," notes Fortune in their reporting, "burning through cash on blocky virtual environments, glitchy avatars, expensive headsets, and a user base of approximately 38 people as of 2022."
Facebook

Meta Acquires AI Wearable Company Limitless 12

Meta is acquiring AI wearable startup Limitless, maker of a pendant that records conversations and generates summaries. "We're excited that Limitless will be joining Meta to help accelerate our work to build AI-enabled wearables," a Meta spokesperson said in a statement. CNBC reports: Limitless CEO Dan Siroker revealed the deal on Friday via a corporate blog post but did not disclose the financial terms. "Meta recently announced a new vision to bring personal superintelligence to everyone and a key part of that vision is building incredible AI-enabled wearables," Siroker said in the post and an accompanying video. "We share this vision and we'll be joining Meta to help bring our shared vision to life."
EU

EU Hits Meta With Antitrust Probe Over Plans To Block AI Rivals From WhatsApp 3

The EU has opened an antitrust investigation into Meta over a new WhatsApp policy that could block rival AI assistants from accessing the platform. Complaints from smaller AI developers triggered the probe, which could lead to fines of up to 10% of Meta's global revenue if the company is found to have abused its dominance. Reuters reports: EU antitrust chief Teresa Ribera said the move was to prevent dominant firms from "abusing their power to crowd out innovative competitors." She added interim measures could be imposed to block Meta's new WhatsApp AI policy rollout. "AI markets are booming in Europe and beyond," she said. "This is why we are investigating if Meta's new policy might be illegal under competition rules, and whether we should act quickly to prevent any possible irreparable harm to competition in the AI space."

A WhatsApp spokesperson called the claims "baseless," adding that the emergence of chatbots on its platforms had put a "strain on our systems that they were not designed to support," a reference to AI systems from other providers. "Still, the AI space is highly competitive and people have access to the services of their choice in any number of ways, including app stores, search engines, email services, partnership integrations, and operating systems."
Facebook

Meta Poaches Apple Design Exec Alan Dye 30

Apple's longtime human-interface chief Alan Dye is leaving to lead a new creative studio at Meta's Reality Labs, where he'll shape AI-driven design for devices like smart glasses and VR headsets. Dye will be replaced by Steve Lemay, who has had "a key role in the design of every major Apple interface since 1999," according to a statement Apple CEO Tim Cook gave Bloomberg's Mark Gurman. TechCrunch reports: Shortly after the news broke of Dye's departure, Zuckerberg announced a new creative studio within Reality Labs that would be led by Dye. There, he'll be joined by Billy Sorrentino, another former Apple designer who led interface design across Reality Labs; Joshua To, who led interface design across Reality Labs; Meta's industrial design team, led by Pete Bristol; and its metaverse design and art teams led by Jason Rubin.

Zuckerberg said the studio would "bring together design, fashion, and technology to define the next generation of our products and experiences." "Our idea is to treat intelligence as a new design material and imagine what becomes possible when it is abundant, capable, and human-centered," the Meta CEO wrote on Threads. "We plan to elevate design within Meta, and pull together a talented group with a combination of craft, creative vision, systems thinking, and deep experience building iconic products that bridge hardware and software."
Facebook

Meta Chief AI Scientist Yann LeCun Plans To Exit To Launch Startup 13

According to the Financial Times (paywalled), Meta's Chief AI Scientist Yann LeCun, a deep-learning pioneer and Turing Award winner, is reportedly leaving the company to launch his own startup. Reuters reports: The owner of Facebook and Instagram has significantly increased its investments in artificial intelligence, with CEO Mark Zuckerberg reorganizing the company's AI initiatives under Superintelligence Labs. Zuckerberg hired Alexandr Wang, former CEO of data-labeling startup Scale AI to lead the new AI effort. As a result, LeCun, who had reported to chief product officer Chris Cox, is now reporting to Wang, the report said.

The company began investing in AI in 2013 by launching Facebook Artificial Intelligence Research (FAIR) unit and recruiting LeCun, who is a known skeptic of the large language model path to superintelligence. LeCun is also a Silver Professor of data science, computer science, neural science and electrical and computer engineering at New York University, according to his LinkedIn page. He is known for his work in deep learning and the invention of the convolutional neural network, which is widely used for image, video and speech recognition.

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