Meta to cut 10% of workforce in pivot to AI
What happenedMeta said Thursday it will cut about 8,000 jobs, or 10% of its workforce, as it shifts resources to artificial intelligence. In a company memo, Chief People Officer Janelle Gale said the social media behemoth would also close 6,000 open positions “as part of our continued effort to run the company more efficiently” and “offset the other investments we’re making.”Who said whatCEO Mark Zuckerberg is “reorganizing his company around AI products in a fierce race” against OpenAI, Anthropic and Google, The New York Times said. Zuckerberg has “made no secret of his AI ambitions,” including rolling out AI-powered social media he “hopes people will incorporate into their daily lives,” and he has pushed employees to “use AI in their daily work.”Meta’s cuts are the “latest in a string of tech industry layoffs fueled” by AI’s efficiency promises, CNN said. Amazon said it would cut 16,000 workers in January, and financial-tech firm Block’s 40% workforce cut in February “came with a stark warning that more companies would follow suit.” Microsoft on Thursday said it was offering buyouts to 7% of its workforce to invest in AI.Article continues below
You may like
Companies are increasingly AI washing
Can Allbirds’ pivot from shoes to AI really work?
OpenAI: Ending its AI video feature
The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
SUBSCRIBE & SAVE
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
What next? Meta said it will notify employees being laid off on May 20.A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
