• Meta is launching a new division focused on AI-powered humanoid robots.
• Leadership from Cruise and The RealReal is now onboard to boost Meta's robotics and retail goals.
• The initiative is expected to enhance mixed and augmented reality capabilities leveraging the Llama AI model.
• Increased investment in robotics comes despite historical financial losses in Meta's Reality Labs.
• Meta aims to develop robots for household chores and improve collaboration with existing robotics companies.

Meta Platforms is taking a significant step into the realm of humanoid robotics by establishing a new division within its Reality Labs unit aimed at developing AI-powered robots designed to assist with various physical tasks. According to an internal memo that was viewed by Reuters, in addition to this new division, the company has hired Marc Whitten, former CEO of Cruise, as vice president of robotics, along with John Koryl, former CEO of The RealReal, as vice president of retail. This strategic hiring aims to leverage their leadership experience in bolstering Meta's ambitions in the competitive landscape of robotics. In the memo, Meta's Chief Technology Officer Andrew Bosworth emphasized that the new robotics product group will focus on maximizing the capabilities of Llama, Meta's primary series of AI foundation models. Bosworth expressed that this strategic expansion into humanoid robotics is intended to create additional value for Meta’s AI products and its mixed-reality initiatives, asserting that "expanding our portfolio in this field will only accrue value to Meta AI and our mixed and augmented reality programs." The company believes that the technologies developed across Reality Labs and its AI initiatives are complementary to advancing robotic capabilities, such as hand tracking and real-time sensor applications. However, Meta's entry into humanoid robotics is not without challenges. The Reality Labs unit has been faced with substantial financial losses, reporting a $5 billion loss in the last quarter, indicating a pressing need for return on investment as the company broadens its focus. Despite these financial hurdles, Meta is betting big on robotics, akin to other tech giants and startups that are significantly investing in AI-driven devices tailored for logistics, manufacturing, and household innovations. For instance, recently, Channel News Asia highlighted that Meta is also exploring partnerships with various robotics firms, including Unitree Robotics and Figure AI, to consolidate their market approach. Meta's aspirations include the creation of its own humanoid robot hardware geared primarily towards domestic chores while developing AI, sensors, and software solutions that could enable robots produced by various companies. With the competitive landscape being increasingly saturated, with players like Tesla and Nvidia-backed startups also in the fray, Meta's pathway forward hinges on not only technological advancements but also effective market strategies to capture consumer interest in humanoid robots. Additional insights gathered from the memo indicate that 2025 is projected to be a pivotal year for Meta's curation of its metaverse and robotics-related products, driven by an urgency to enhance sales and broaden its consumer reach. For the full memo and detailed company insights, readers can refer to the original articles from Business Insider and Reuters.