(RTTNews) - Meta Platforms, Inc. (META) is planning to slash its workforce by atleast 20 percent, according to a report by Reuters. As per persons familiar with the issue, the decision comes as the tech giant is pivoting its resources toward costly AI investments.
Notably, top Meta executives have been informed that layoffs are coming to other senior management and instructed them to start making plans to function with a reduced workforce, the report stated. However, no specific dates of layoffs have been mentioned.
"This is speculative reporting about theoretical approaches," Meta spokesperson Andy Stone told Reuters when asked about the plan.
The move comes as CEO Mark Zuckerberg is intensifying efforts to position Meta as a stronger competitor in the generative AI space. As part of this push, the company has reportedly offered massive compensation packages, some valued at hundreds of millions of dollars over four years, to attract leading AI researchers to its new superintelligence team, as per Reuters.
Meta has also announced plans to invest around $600 billion by 2028 to build large-scale data centres to support its expanding AI ambitions. Earlier this week, the company acquired Moltbook, a social networking platform designed specifically for AI agents. In addition, Reuters previously reported that Meta is spending at least $2 billion to acquire the Chinese AI startup Manus.
Currently, META is trading at $624.79, up 1.88 percent on the Nasdaq.
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