Meta’s AI Drive Could Cost 8,000 Jobs

Meta is preparing to cut roughly 10% of its global workforce as the company intensifies spending on artificial intelligence and seeks greater productivity from its remaining staff.

According to a source who spoke to AFP, the social media giant is expected to lay off around 8,000 employees next month, while leaving thousands of additional vacancies unfilled.

The decision comes as Meta co-founder and chief executive Mark Zuckerberg sharpens focus on what he has described as the race toward “superintelligence,” placing the company in direct competition with Amazon, Google, Microsoft and OpenAI.

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Meta has been pouring billions into AI infrastructure, including major data centre expansion and new research units. In its latest earnings report, the company said quarterly costs rose to $35.15 billion, up 40 per cent from the same period a year earlier. Capital expenditure for the quarter reached $22.14 billion, much of it linked to data centres and systems needed to power AI development.

                                                            Meta’s AI Drive Could Cost 8,000 Jobs (Photo/Bloomberg)

For the full fiscal year, Meta expects capital spending to range from $115 billion to $135 billion, driven by investment in Meta Superintelligence Labs and its core business operations.

Speaking during an earnings call, Zuckerberg said: “I’m looking forward to advancing personal superintelligence for people around the world in 2026.”

Analysts say Meta is betting that its heavy spending will eventually strengthen advertising efficiency and create new revenue opportunities, particularly through smart glasses developed with EssilorLuxottica, owner of the Ray-Ban brand.

Wedbush analyst Dan Ives said the layoffs appear to be part of a broader plan to use AI tools to replace tasks previously handled by larger teams. In a note to investors, he said Meta is using AI agents for coding and other functions to improve efficiency and lower costs.

Ives added that more job cuts could follow later this year as the company continues restructuring around AI-driven operations.

Meanwhile, Microsoft is also reportedly considering voluntary buyouts for some US workers, underscoring how major technology firms are reshaping their workforce strategies as they race to dominate the next phase of artificial intelligence.

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  • Tope Oke

    Temitope is a storyteller driven by a passion for the intricate world of geopolitics, the raw beauty of wildlife, and the dynamic spirit of sports. As both a writer and editor, he excels at crafting insightful and impactful narratives that not only inform but also inspire and advocate for positive change. Through his work, he aims to shed light on complex issues, celebrate diverse perspectives, and encourage readers to engage with the world around them in a more meaningful way.

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