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Magic Leap settles sexual discrimination case

Terms of the out of court settlement with Tannen Campbell were not disclosed

Update: Magic Leap has settled the sexual discrimination suit filed by Tannen Campbell out of court. The terms of the settlement were not disclosed.

A Florida court granted Campbell's motion for settlement at the end of April and, according to the settlement document, the case should be closed by the end of this month.

Original Story: Mixed-reality startup Magic Leap is being sued for sexual discrimination by an employee who was recruited to help it appeal to women.

Tannen Campbell also accuses the firm of using misleading marketing materials that give a false impression of Magic Leap's capabilities.

Campbell was VP of strategic marketing and brand identity, and was challenged to highlight the lack of gender diversity in the company. She told a Florida court that CEO Rony Abovitz took seven months to watch her presentation, and when he did he left half-way through.

The firm then asked Rachna Bhasin to head up a 'Female Brain Trust Initiative.' The first meeting included seven female employees (including Campbell) and a handful of male employees. A series of proposals were made about the hardware to help improve the design for women, but later meetings no male members turned up and none of the proposed changes were implemented.

Campbell claims she had to endure a hostile environment and sexual discrimination, and her lawsuit says: "Campbell was terminated after she, like the child in The Emperor's New Clothes who blurted out that the Emperor was naked, challenged Magic Leap's CEO to acknowledge the depths of misogyny in Magic Leap's culture and take steps to correct a gender imbalance that negatively affects the company's core culture."

Alongside the failed initiatives, Campbell goes on to highlight a series of more direct examples of misogyny.

She said that an image of two doctors - a man and a woman - prompted a comment of: 'Look, it's bring your wife to work day.'

One of the games by Magic Leap features no female heroes, and just one female character worshiping at the feet of the game's male characters.

A seminar for new hires featured the advice: "in IT we have a saying; stay away from the Three Os: Orientals, Old People and Ovaries". Campbell was told that this person who not be involved in such situations in the future, but this did not happen.

It's the latest in a series of bad reports for Magic Leap, which has so far raised over $1bn in money, but has yet to release a singe product.