Meta cuts jobs as AI spending surges

Meta is laying off several hundred employees across multiple teams, including sales, recruiting, and its Reality Labs division, according to reports from The Information and Bloomberg. The workforce reductions will impact employees in both the U.S. and other international markets. Bloomberg reported that some of the affected employees will be offered other jobs or the opportunity to relocate to remain with the company. In total, the current cuts will affect fewer than 1,000 employees, representing a small fraction of Meta’s total workforce, which stood at nearly 79,000 employees at the end of 2025.

The layoffs come as Meta continues to invest billions of dollars into artificial intelligence. The company expects its capital expenditures—defined as the funds used to acquire, upgrade, and maintain physical assets—to reach between $115 billion and $135 billion this year. This restructuring marks the second time Meta has trimmed its workforce in 2026. In January, the company laid off 10% of its staff in the Reality Labs division, which focuses on virtual and augmented reality. The New York Times reported that those January cuts affected roughly 1,000 employees out of a total workforce of about 15,000 in Reality Labs.

In an email, a Meta spokesperson addressed the changes, stating: “Teams across Meta regularly restructure or implement changes to ensure they’re in the best position to achieve their goals.” The spokesperson added, “Where possible, we are finding other opportunities for employees whose positions may be impacted.”

Why it matters

The layoffs highlight the tension between Meta’s projected capital expenditure of between $115 billion and $135 billion on AI infrastructure and its ongoing efforts to streamline operations, marking its second workforce reduction this year.