Meta is reportedly weighing layoffs that could impact at least 20% of its workforce as the tech giant looks to offset rising artificial intelligence costs.
The cuts come as the technology company aims to offset the cost of artificial intelligence infrastructure and prepare for greater efficiency brought about by AI-assisted workers, three sources familiar with the matter told Reuters.
The outlet added that the timing and size of the potential layoffs have not been finalized.
When reached for comment, a Meta spokesperson told FOX Business, “This is a speculative report about theoretical approaches.”
META CUTS OVER 1,000 JOBS IN MAJOR METAVERSE RETREAT
According to Reuters, top Meta executives recently shared plans for the proposed layoffs with other senior leaders at the company.
If the company were to slash 20% of its employees, the layoffs would amount to Meta’s largest restructuring since 2022 and early 2023, the outlet said.
Meta laid off 11,000 workers in November 2022 — around 13% of its workforce at the time, Reuters reported.
The company cut another 10,000 jobs months later.
JUDGE BLOCKS META FROM INTRODUCING ‘EXAGGERATED’ CLAIMS IN SOCIAL MEDIA TRIAL
Meta employed nearly 79,000 people as of Dec. 31, according to its latest filing.
Other major companies, including Amazon, have recently announced large-scale layoffs tied to AI developments.
In January, Amazon cut around 16,000 jobs and signaled at the time that more reductions could follow.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
The company previously announced a first round of cuts totaling about 14,000 white-collar layoffs in October, bringing its corporate reductions to roughly 30,000 roles.
In making the cuts, which represented nearly 10% of its white-collar workforce, Amazon cited efficiency gains from artificial intelligence and broader cultural changes.
FOX Business’ Bradford Betz contributed to this report.
