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Techmeme Ride Home

I’m Calling It: The Metaverse Is Over

20 min episode · 2 min read

Episode

20 min

Read time

2 min

Topics

Investing, Startups, Fundraising & VC

AI-Generated Summary

Key Takeaways

  • AI Industry Talent Wars: Thinking Machines loses multiple cofounders to OpenAI and Meta after struggling to raise funding at $50 billion valuation despite only offering Tinker API, not training foundation models, revealing product strategy gaps.
  • Content Creator Monetization: Cloudflare acquires Human Native to build payment systems where AI developers compensate creators for training data, launching AI Crawl Control to help content owners restrict or monetize bot access to their websites.
  • Apple Manufacturing Dependence: Apple's annual TSMC spending grew twelve times from $2 billion in 2014 to $24 billion in 2025, creating codependence where switching foundries would cost $2-5 billion and risk two to three years of inferior products.
  • Vibe Coding Market Expansion: Replit enables natural language mobile app creation with integrated Stripe monetization, approaching $9 billion valuation as AI coding startups like Cursor reach $29 billion valuation, threatening traditional software stocks down 11 percent.

What It Covers

Meta shuts down VR business products including Workrooms and commercial Quest sales while laying off Reality Labs staff, signaling Zuckerberg's pivot away from VR toward mobile and smart glasses as metaverse strategy collapses.

Key Questions Answered

  • AI Industry Talent Wars: Thinking Machines loses multiple cofounders to OpenAI and Meta after struggling to raise funding at $50 billion valuation despite only offering Tinker API, not training foundation models, revealing product strategy gaps.
  • Content Creator Monetization: Cloudflare acquires Human Native to build payment systems where AI developers compensate creators for training data, launching AI Crawl Control to help content owners restrict or monetize bot access to their websites.
  • Apple Manufacturing Dependence: Apple's annual TSMC spending grew twelve times from $2 billion in 2014 to $24 billion in 2025, creating codependence where switching foundries would cost $2-5 billion and risk two to three years of inferior products.
  • Vibe Coding Market Expansion: Replit enables natural language mobile app creation with integrated Stripe monetization, approaching $9 billion valuation as AI coding startups like Cursor reach $29 billion valuation, threatening traditional software stocks down 11 percent.

Notable Moment

Meta recommends users switch to Arthur, Microsoft Teams, and Zoom Workplace as Workrooms replacement, effectively endorsing competitors while abandoning its own VR collaboration platform that Zuckerberg personally introduced before the company rebrand.

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Episode Transcript

The world moves fast. Your workday, even faster. Pitching products, drafting reports, analyzing data, Microsoft three sixty five Copilot is your AI assistant for work, built into Word, Excel, PowerPoint, and other Microsoft three sixty five apps you use, helping you quickly write, analyze, create, and summarize, so you can cut through clutter and clear a path to your best work. Learn more at microsoft.com/m365copilot. Welcome to the Tech Brew Ride Home for Friday, 01/16/2026. I'm Brian McCullough. Today, more fallout from the thinking machine stuff. I'm officially calling it. I think the metaverse is over at least at meta. Cloudflare continues to make an effort to protect the web and creators from AI strip mining and of course, the weekend long range suggestions. Here's what you missed today in the world of tech. Attackers don't need exploits when they can use your allowed tools against you. That's why ThreatLocker enforces default deny at execution, stopping unknown software scripts and ransomware the moment it tries to run. No signatures, no guesswork, just control. ThreatLocker takes zero trust from theory to practice by blocking any unauthorized application or behavior from ever running in the first place. Generative AI has lowered the barrier to malware creation, so ThreatLocker prevents AI generated polymorphic and file list attacks by shutting down unknown behavior automatically even if it's never been seen in the wild. ThreatLocker gives you tight control without the noise, meaning fewer alerts and a cleaner predictable operational posture. Learn more at threatlocker.com/techbrew ride home. That's threatlocker.com/techbrew ride home. Wired continues to be all over this Thinking Machines drama, and they say at least two more Thinking Machine staffers are expected to join OpenAI soon. Some researchers also say they are exhausted by the industry's constant drama, which tell me about it, quoting Wired. In the aftermath of these events, we've been hearing from several researchers at leading AI labs who say they are exhausted by the constant drama in their industry. This specific incident is reminiscent of OpenAI's brief ouster of Sam Altman in 2023, known inside of OpenAI as the blip. Maratti played a key role in that event as the company's then chief technology officer according to reporting from The Wall Street Journal. In the years since Altman's ouster, the drama in the AI industry has continued with departures of cofounders at at several major AI labs, including XAI's Igor Babushkin, Safe Superintelligences, Daniel Gross, and Meta's Jan Lacun. He did cofound Facebook's long standing AI Lab FAIR after all. Some might argue the drama is justified for a nascent industry whose expenditures are contributing to America's GDP growth. Also, if you buy into the idea that one of these researchers might crack a few breakthroughs on the path to AGI, it's probably worth tracking where they're going. That said, many researchers started working before ChattGPT's breakout success and appear surprised that their industry is now the source of nearly constant scrutiny, end quote. And according to Alex Heath, some …

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Books, tools, and gear mentioned in this episode

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Tools

  • by Cloudflare

    Cloudflare acquires Human Native to build payment systems where AI developers compensate creators for training data, launching AI Crawl Control to help content owners restrict or monetize bot access to their websites
  • AI coding startups like Cursor reach $29 billion valuation, threatening traditional software stocks
  • by Zoom

    Meta recommends users switch to Arthur, Microsoft Teams, and Zoom Workplace as Workrooms replacement
  • Meta recommends users switch to Arthur, Microsoft Teams, and Zoom Workplace as Workrooms replacement
  • ThreatLockerBy guest

    by ThreatLocker

    SPONSORS: ThreatLocker
  • Tinker APIBy guest

    by Thinking Machines

    Thinking Machines loses multiple cofounders to OpenAI and Meta after struggling to raise funding at $50 billion valuation despite only offering Tinker API, not training foundation models
  • ReplitBy guest

    by Replit

    Replit enables natural language mobile app creation with integrated Stripe monetization, approaching $9 billion valuation
  • StripeBy guest

    by Stripe

    Replit enables natural language mobile app creation with integrated Stripe monetization

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