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Meta cuts 10% of workforce in major layoffs

Meta has announced plans to lay off approximately 10 percent of its workforce, affecting around 8,000 employees, in a move confirmed by a memo from Chief People Officer Janelle Gale and reported by Bloomberg. The reductions are scheduled to take place in May, with affected staff expected to be notified on May 20th. In addition to the job cuts, the company will close roughly 6,000 open job roles to further streamline operations. The decision follows a period of aggressive investment in artificial intelligence infrastructure. Meta forecasted that capital expenditures would rise significantly from $72.22 billion in 2025 to a range between $115 billion and $135 billion in 2026. This substantial increase is intended to support the company's Meta Superintelligence Labs and its core business initiatives. The layoffs serve as a strategic adjustment to offset these heavy financial commitments while improving operational efficiency. Gale acknowledged the difficulty of the situation, stating that the company is letting go of individuals who have made meaningful contributions but emphasizing the necessity of the tradeoff. This announcement marks the continuation of restructuring efforts at Meta. Earlier this year, the tech giant conducted smaller layoffs impacting hundreds of employees within recruiting, social media, and sales teams, alongside cuts affecting about 10 percent of its Reality Labs division. While Meta spokesperson Tracy Clayton confirmed the accuracy of the Bloomberg report, she declined to provide further details. Gale addressed the uncertainty facing employees, noting that the notification process would occur after nearly a month of ambiguity, which she described as incredibly unsettling. She explained that specific details regarding the execution remain under development and would be shared later in May. Prior reporting from Reuters had indicated that the company had targeted May 20th for these announcements and hinted at further reductions planned for the second half of 2026. Earlier in March, the same outlet suggested Meta was considering cuts of 20 percent or more, though the final decision settled on the 10 percent figure confirmed this week. The restructuring reflects a broader shift in the tech industry toward AI dominance, where resource allocation is becoming increasingly critical. While the company aims to strengthen its long-term competitiveness through massive capital investment in superintelligence, the immediate impact involves significant workforce reductions and a pause on new hiring. The timeline for the remainder of the year remains open, with potential for additional adjustments as the company navigates the balance between innovation costs and operational efficiency.

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Meta cuts 10% of workforce in major layoffs | Trending Stories | HyperAI