Magic Leap Manages $350m Funding Raise, Layoffs Currently on Hold

Magic Leap

Mixed reality (MR) headset manufacturer Magic Leap has been going through a tough time of late. Sales of its Magic Leap 1 haven’t been great, and last month its was reported a lot of employees would be losing their jobs. Now there’s been a bit of good news, the company has managed to raise $350 million USD.

Magic Leap

As first reported by Business Insider, that total has come from new and existing investors, helping Magic Leap put a halt to the layoffs. CEO Rony Abovitz sent a memo to remaining staff in late April revealing the details, noting: “We look forward to continuing normal operations.” 

That’s a sizable chunk of cash to raise considering Magic Leap’s performance over the last year but at least those still working for the company can feel a little more secure. How many were laid off before this news is unknown.

While the $3000 Magic Leap 1 has yet to find widespread success, Magic Leap itself has always been successful in securing funds. Over the years it has managed to raise over $2.6 billion from investors including Google, AT&T, Alibaba Group and Saudi Arabia’s Public Investment Fund. Magic Leap’s most recent valuation put it over $6 billion.

RelayCars Magic Leap 2

The last six months have seen Magic Leap shift its focus towards business, launching the Magic Leap Enterprise Suite in December 2019. With the onset of the coronavirus (COVID-19) pandemic, the lockdown and everyone working from home, a collaboration package was rolled out offering four Magic Leap 1 devices for a trial period of 45 days. Magic Leap teamed up with Spatial to facilitate holographic meetings, aiding productivity.

For those with a Magic Leap 1, developers have released a range of apps that aren’t purely about business, there are some entertaining ones too. Resolution Games recently released Glimt: The Vanishing at the Grand Starlight Hotel, a puzzle-filled detective mystery. While Insomniac Games’ Strangelets offers the chance to collect and nurture strange alien creatures.

On the educational side, there’s always BBC Earth – Micro Kingdoms: Senses encouraging users to learn about ants and spiders in their living room. As further details regarding Magic Leap’s fortunes arise, VRFocus will keep you updated.



via Mint VR
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