WORLD NEWS
Meta is reportedly planning large-scale layoffs that could impact 20% or more of its workforce, according to multiple sources cited by Reuters. The move comes as the social media giant ramps up its investments in artificial intelligence infrastructure and seeks efficiency gains from AI-assisted workflows.
The exact scale and timing of the potential cuts have not been finalized. Sources familiar with the matter said that top executives have already begun discussing the layoffs internally and instructed senior leaders to prepare for staff reductions, though no formal announcement has been made. Meta spokesperson Andy Stone described the reports as “speculative” and emphasized that no decisions have been confirmed.
Largest Layoffs Since 2023
If the 20% figure is implemented, it would mark the company’s largest workforce reduction since its “year of efficiency” restructuring in late 2022 and early 2023, when it cut a combined 21,000 jobs. As of December 31, Meta employed nearly 79,000 people.
The company has previously conducted layoffs across multiple rounds, including 11,000 job cuts in November 2022 (13% of its workforce) and another 10,000 four months later.
AI Ambitions Driving Changes
CEO Mark Zuckerberg has been aggressively pushing Meta to compete in generative AI. The company has offered lucrative compensation packages, some worth hundreds of millions of dollars, to attract top AI researchers for a new superintelligence team.
Meta plans to invest $600 billion in data centers by 2028, and has made strategic acquisitions to bolster its AI capabilities, including the AI-focused social platform Moltbook and the Chinese AI startup Manus for at least $2 billion.
Zuckerberg has highlighted potential efficiency gains from these AI investments, noting in January that projects which previously required large teams can now be accomplished by smaller, highly skilled groups.
Broader Tech Layoff Trend
Meta’s plans mirror a broader pattern in the US tech sector. Earlier this year, Amazon announced a 16,000-job cut (nearly 10% of its workforce), while fintech company Block reduced almost half its staff, citing AI as a key factor enabling leaner teams.
Challenges with AI Models
Meta’s current AI push follows setbacks with its LLaMA 4 models last year. The company faced criticism for misleading benchmark results and ultimately abandoned the release of its largest model, Behemoth. The superintelligence team is now developing a new model called Avocado, although early performance has reportedly lagged expectations.
Despite these challenges, Meta’s AI initiatives remain a top priority for Zuckerberg, with workforce restructuring seen as a key part of reallocating resources toward high-impact AI projects.