The firm is heavily investing in AI while simultaneously reducing costs in other areas.
The firm is heavily investing in AI while simultaneously reducing costs in other areas.
Per Reuters, Meta is aiming to counterbalance expenses related to AI and data centers by initiating a significant layoff round. Insiders indicate that the company may let go of up to 20 percent of its workforce, roughly translating to 15,800 roles. This would mark the largest layoffs at the firm since it discharged 22,000 employees within a few months between November 2022 and early 2023.
The rumor of possible workforce reductions follows Meta’s indication that it was virtually abandoning its focus on VR and the Metaverse, cutting back on funding and shutting down studios. In lieu of this, the company has been heavily investing in attracting AI professionals, constructing data centers, and purchasing firms like Moltbook.
In the midst of all this, the company has frequently found itself in trouble regarding its smart glasses, chatbots, and its effects on adolescents.
When approached for remarks, Meta representative Andy Stone commented, “This is speculative reporting regarding theoretical strategies.”
Update March 14th: Included comment from Meta.
