Meta Plans to Lay Off Up to 20% of Workforce to Cover AI Costs

The Meta, parent company of Facebook and Instagram, is planning large-scale layoffs that could impact 20% or more of its global workforce, according to sources familiar with the matter who spoke to Reuters this week. The cuts aim to offset the high investments in AI infrastructure, such as data centers and specialized chips, and prepare the company for a more efficient operation with the use of AI tools in employees' daily tasks. The company, which had about 79,000 employees at the end of December, has not yet set an exact date or final number of those affected, but executives have directed senior leaders to draw up reduction plans.

This move reflects a larger trend in the tech sector, where companies like Meta seek to balance budgets amidst rising expenses in AI. Behind this is Mark Zuckerberg's ambition to advance towards "superintelligence," with spending projections reaching up to $600 billion by 2028 on related infrastructure. In practice, the cuts would be the largest since the 2022 and 2023 restructuring, dubbed the "year of efficiency," when Meta eliminated thousands of positions to recover from advertising revenue declines. However, the current focus is on redirecting resources to AI, including recruiting top researchers and automating internal processes.

The impact extends beyond Meta's walls and could shake up the tech job market. Thousands of engineers, product managers, and marketing specialists are expected to seek new roles, with many already anticipating the need to update skills in areas like prompt engineering and fine-tuning of AI models. According to industry reports, similar layoffs in divisions like Reality Labs, which cut about 10% of its team in January affecting 1,500 people, demonstrate how the pivot to AI is accelerating changes. In Brazil and globally, this creates an opportunity for training platforms as professionals seek quick courses to adapt.

Analysts point out that the efficiency promised by AI can reduce reliance on human labor for repetitive tasks, but also requires more qualified teams to manage these technologies. The result is immediate pressure for upskilling, with growing demand for training in AI ethics and management of machine learning-based products.

In the near future, Meta is expected to announce official details in the coming weeks, possibly aligned with its quarterly results. Meanwhile, rivals like Google and Microsoft are closely watching, adjusting their own AI investment strategies without repeating the same drastic cuts.