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Meta vows no further mass layoffs after AI‑driven cuts

Financial Times Companies •
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Meta CEO Mark Zuckerberg told staff on Wednesday that the company will not conduct further company‑wide layoffs after cutting about 10% of its workforce. The round of reductions eliminated roughly 8,000 jobs, halted hiring for another 6,000 positions and reassigned 7,000 employees to AI‑focused groups. The move is part of a broader effort to reshape the workforce around artificial‑intelligence initiatives.

Zuckerberg framed the cuts as a necessary response to Meta’s expanding AI budget, which analysts expect to swell to $135bn in capital spending this year. The company recently unveiled Muse Spark, a model that narrows the gap with rivals such as Google and OpenAI, and is building personalized assistants and photorealistic 3D avatars, including a digital clone of the founder internally.

Employee morale remains fragile; staff in North America received layoff notices in early‑morning emails and a proposal to monitor mouse movements and keystrokes for AI training sparked a petition signed by more than 1,500 workers. While Zuckerberg promised no additional company‑wide cuts, he left open the possibility of team‑specific reductions strategically as Meta continues to now chase global AI leadership.