Tech giant Meta, the parent company of Facebook, Instagram, and WhatsApp, has laid off 600 employees from its artificial intelligence division, in what industry analysts describe as another phase of the company’s restructuring to streamline operations after an extensive hiring drive.
Key Highlights:
- Meta trims 600 positions in its artificial intelligence division amid restructuring.
- Job cuts will not affect CEO Mark Zuckerberg’s elite TBD Lab.
- Move targets “organizational bloat” after massive AI hiring spree.
- Meta aims to boost efficiency while preserving core AI innovation.
According to reports from the Wall Street Journal and The New York Times, the layoffs are focused on teams handling AI infrastructure and product development, rather than Meta’s high-profile TBD Lab, a division personally overseen by CEO Mark Zuckerberg.
The TBD Lab has been instrumental in Meta’s push to dominate the fast-growing AI landscape, recruiting top scientists and engineers from competitors such as OpenAI and Apple with lucrative compensation packages.
However, the company is now recalibrating. The latest cuts, according to Chief AI Officer Alexandr Wang, are designed to eliminate “organizational bloat” that emerged from rapid expansion, ensuring faster decision-making and tighter operational control.
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While many affected employees may be redeployed within the company, the decision signals Meta’s continued focus on AI efficiency over expansion. The company’s latest move follows its broader “year of efficiency” initiative, launched in 2023, which saw thousands of jobs cut across departments to refocus on profitability and innovation.
Meta did not immediately respond to AFP’s request for comment. The layoffs come amid intensifying competition in the global AI race, as tech giants like Google, Microsoft, and OpenAI ramp up investments in generative AI, automation, and machine learning products. Meta’s restructuring underscores its intention to stay competitive while managing costs and maintaining its leading position in the next phase of the digital economy.
