Meta Platforms Inc (NASDAQ:META) acquired Limitless to accelerate its push into artificial intelligence-powered wearable technology as part of its broader strategy to bring “personal superintelligence” to consumers.
The financial terms of the transaction remain undisclosed.
The deal strengthens Meta’s ability to build advanced, always-on AI hardware by combining Limitless’ experience in AI-first devices with Meta’s scale in consumer platforms and infrastructure.
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Meta pursued the acquisition to deepen its internal capabilities at the intersection of AI and hardware, an area it views as critical to the next generation of computing.
The company aims to use Limitless’ technology and engineering expertise to speed development of AI-enabled wearables designed to function as persistent, personalized assistants.
Changes To Limitless Products And Services
Following the acquisition, Meta will wind down commercial sales of the Limitless Pendant while continuing to support existing customers for at least one year.
Meta eliminated subscription fees for current users and granted access to premium features at no cost as it transitions the product away from standalone commercialization.
Meta will sunset non-core software features, including Rewind, and adjust regional availability as it integrates the technology into its long-term product roadmap.
The company added new in-app tools that allow users to export or delete their data, and it committed to maintaining data protection standards throughout the transition.
Capital Allocation Shifts
Meta stock gained over 15% year-to-date, lagging the Nasdaq Composite index’s over 22% returns.
Last week, Meta shared plans to cut up to 30% of its 2026 metaverse budget, with most reductions aimed at Quest and Horizon Worlds.
Meta also shifted its wearables strategy by delaying its “Phoenix” mixed-reality glasses to early 2027, giving teams more time to deliver higher-quality, AI-driven smart glasses while prioritizing polished hardware and reliable user experiences.
Analyst Commentary On Cost Discipline
JPMorgan’s Doug Anmuth and Bank of America Securities’ Justin Post said Meta’s plan to cut its 2026 metaverse budget signals stronger cost discipline.
Anmuth estimated up to $5 billion in savings, and Post projected $6 billion–$6.5 billion in potential savings that could help support EPS growth as Meta shifts more resources toward AI and data center investments.
Meta held $44.45 billion in cash and equivalents as of September 30, 2025
META Price Action: Meta Platforms shares were down 0.21% at $672.00 during premarket trading on Monday, according to Benzinga Pro data.
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