Meta planning sweeping layoffs as AI costs mount: report

Meta is planning sweeping layoffs that could affect 20 per cent or more of the company, three sources familiar with the matter told Reuters, as Meta seeks to offset costly artificial intelligence infrastructure bets and prepare for greater efficiency brought about by AI-assisted workers.

No date has been set for the cuts and the magnitude has not been finalised, the people said.

Top executives have recently signalled the plans to other senior leaders at Meta and told them to begin planning how to pare back, two of the people said.

The sources spoke anonymously because they were not authorised to disclose the cuts.

“This is speculative reporting about theoretical approaches,” Meta spokesperson Andy Stone said in response to questions about the plan.

If Meta settles on the 20pc figure, the layoffs will be the company’s most significant since a restructuring in late 2022 and early 2023 that it dubbed the “year of efficiency”.

It employed nearly 79,000 people as of December 31, according to its latest filing.

The company laid off 11,000 staffers in November 2022, or around 13pc of its workforce at the time. Around four months later, it announced it was cutting another 10,000 jobs.

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