Meta Mulls Massive Layoffs Amid AI Investment Push
Meta Platforms is reportedly planning one of the largest layoffs in its history. Citing three sources, Reuters reported that the company may cut 20 percent or more of its total workforce.
The move is reportedly aimed at covering the massive costs of investment in artificial intelligence (AI) infrastructure and improving efficiency through AI-assisted employees.
Sources said the exact date of the layoffs and the final number of affected employees have not yet been determined. However, Meta’s top executives have recently informed other senior leaders about the plan and asked them to develop strategies for downsizing.
Responding to the Reuters report, Meta spokesperson Andy Stone said, “This is speculative reporting about theoretical approaches.”
According to the company’s latest financial report, Meta had 78,865 employees as of 31 December 2025. The company reported nearly $60 billion in revenue in the fourth quarter and more than $200 billion for the entire year.
Following the news of the potential layoffs, Meta’s share price fell by nearly 4 percent on Friday, reducing the company’s market value by $619 billion to $1.55 trillion.
Over the past year, Chief Executive Officer Mark Zuckerberg has been pushing Meta to compete more aggressively in the generative AI sector. The company is offering compensation packages worth tens of millions of dollars to attract leading AI researchers and has announced plans to invest $600 billion in building data centers by 2028. Recently, it acquired the social media platform Multbook, designed for AI agents, and is spending at least $2 billion to acquire the Chinese AI startup Manus.
Meta’s plans also reflect a broader trend among major U.S. companies this year. Executives have increasingly cited advances in AI systems as a driving factor behind organizational changes. In January, Amazon confirmed layoffs of nearly 16,000 employees. Last month, fintech company Block laid off nearly half of its workforce, with CEO Jack Dorsey explicitly pointing to the growing capabilities of AI tools as a contributing factor.
DBTech/BMT/OR
