Meta is planning sweeping layoffs that could affect 20% or more of its workforce, according to sources familiar with the matter. This move comes as the tech giant seeks to offset costly artificial intelligence infrastructure investments and prepare for increased efficiency driven by AI-assisted workers.
No definitive date or final layoff number has been set. However, top executives have begun signaling these plans to senior leadership, tasking them with developing strategies for workforce reduction. If the 20% figure is realized, these cuts would represent Meta's most substantial layoffs since its "year of efficiency" restructuring in late 2022 and early 2023. The company reported nearly 79,000 employees as of December 31st.
CEO Mark Zuckerberg has been aggressively steering Meta toward a leadership position in generative AI. This includes offering substantial compensation packages to attract top AI researchers for a new superintelligence team and a commitment to invest $600 billion in data centers by 2028. Zuckerberg has noted that AI is enabling single, talented individuals to accomplish tasks previously requiring large teams.
This trend of workforce adjustments is visible across major US companies, particularly in the tech sector, with executives citing AI advancements as a key driver. Recent examples include Amazon's planned cuts of approximately 16,000 jobs and fintech firm Block's reduction of nearly half its staff, with CEO Jack Dorsey specifically referencing AI tools' enhanced capabilities for smaller teams.