Meta Doubles Down on AI with New Layoffs

Meta has announced it will lay off approximately 8,000 employees, roughly 10% of its global workforce, as the social media giant pivots even more aggressively toward artificial intelligence (via CNBC News).

In addition to the immediate job cuts, which are scheduled to take effect on May 20, the company confirmed it will leave around 6,000 currently open roles unfilled. This move marks one of the most significant AI-driven restructurings in the tech sector this year.

The decision to reduce headcount is not due to a lack of capital, but rather a strategic reallocation of it. Meta recently updated its 2026 expense projections, warning investors that total spending could reach a staggering range of $162 billion to $169 billion. Much of this capital is being funneled into AI infrastructure, including a new $1 billion AI-optimized data centre in Oklahoma.

In an internal memo, Meta’s Chief People Officer Janelle Gale noted that the layoffs are a difficult but necessary trade-off to “offset the other investments we’re making.” While traditional roles in management and entry-level operations are being trimmed, Meta is simultaneously hiring AI specialists at eye-popping salary levels.

CEO Mark Zuckerberg has been vocal about the changing nature of work within the company. During recent earnings calls, he suggested that AI tools are now capable of handling tasks that previously required large teams.

This latest round of cuts follows a series of layoffs that began in late 2022, totaling tens of thousands of lost positions over the last few years. To support those departing, the company has promised generous severance packages, though the move has undeniably rattled the remaining staff.