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Meta to cut 10% of staff as it pours billions into AI

By The South Asian NewsEditorial Team
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Meta to cut 10% of staff as it pours billions into AI

t of its workforce, or about 8000 people, the latest in a string of tech industry layoffs fuelled in part by artificial intelligence.


The company is also closing around 6000 open roles, Janelle Gale, Meta's chief people officer, wrote in a memo published by Bloomberg that Meta confirmed to CNN.


The layoffs will go into effect on 20 May.


"We're doing this as part of our continued effort to run the company more efficiently and to allow us to offset the other investments we're making," Gale wrote.


Meta, along with other tech giants, has been on an aggressive AI spending spree. The company spent US$72.2 billion (NZ$123.3b) on capital expenditures in 2025, or costs related to data centres and other AI infrastructure. That number is expected to climb to at least $115b in 2026, Meta said in its January earnings report.


The company has also been splurging on talent for its superintelligence lab and has acquired buzzy AI startups like Moltbook and Manus as part of its ongoing efforts to compete with OpenAI and others.


Meta (META) shares were down more than 2 percent on Thursday afternoon.