Meta Layoffs: 8,000 Jobs Cut as AI Spending Hits $135B

Meta has announced plans to lay off 8,000 employees, about 10% of its workforce, as it increases its focus on artificial intelligence.

Meta Announces Major Layoffs

Meta has announced plans to lay off approximately 8,000 employees, representing about 10% of its workforce, according to a memo sent to employees on Thursday. The cuts are expected to take effect next month. The company also said it would not fill thousands of additional open positions.

AI Investment Drives Decision

The layoffs come as Meta redirects financial resources toward artificial intelligence projects. The company plans to spend $135 billion on AI this year alone, roughly equal to what it spent on AI in the previous three years combined, according to a person who viewed the memo. A Meta spokesman confirmed the planned job cuts but declined to comment further.

Zuckerberg Points to Productivity Gains

Meta CEO Mark Zuckerberg has publicly stated that AI tools are boosting productivity. He noted that a single person can now complete projects that would have previously required a large team. In January, he said that 2026 would be the year AI starts to dramatically change the way we work.

Previous Cuts and Hiring

This latest round follows earlier reductions. Meta has already cut around 2,000 workers in two smaller rounds of layoffs this year. Since 2022, the company has enacted several rounds of job cuts, shedding tens of thousands of workers. However, it had started hiring again, and last year its overall number of employees looked to be at around the same level as before its initial layoff. The upcoming cuts will be Meta's largest layoff since 2023.

Employee Concerns

Employees have raised concerns about the changes. One employee described the atmosphere of surveillance to enhance AI models as dystopian, given the looming layoffs. This week, Meta informed employees that it would begin tracking and logging their interactions with work computers to help train and improve its AI models.

Broader Tech Industry Trend

Meta's actions reflect a broader trend in the tech industry, where companies are increasingly adopting AI and citing it as a factor in workforce reductions. Amazon has laid off more than 30,000 workers. Oracle laid off more than 10,000 workers. Block laid off nearly half of its staff, totaling more than 4,000 workers. Snap has laid off around 1,000. Also on Thursday, Microsoft told employees it would offer thousands of workers with longer tenure voluntary buyouts. Nearly all of these companies have cited the growing capabilities of, or increased investment in, AI technology as a factor in executives' perceived need for fewer employees.

Conflicting Reports on Scale

Last week, Reuters news agency reported that Meta was planning to cut potentially more than 10,000 employees this year. The memo to employees on Thursday was first reported by Bloomberg. The exact final number of layoffs may differ from the announced 8,000, but the company has confirmed the 10% reduction.

Meta to Cut 8,000 Jobs as AI Spending Surges