Meta to cut 10% staff amid AI push

SAN FRANCISCO — Meta Platforms plans to cut about 10 percent of its workforce, according to media reports on Thursday citing an internal memo, as the social media giant continues to pursue efficiency while increasing investment in artificial intelligence infrastructure and talent.

Meta had a global workforce of 78,865 employees as of Dec 31, 2025, according to its annual report, meaning the latest move would affect roughly 8,000 jobs. A source told Agence France-Presse that the layoffs will take place next month, with thousands more positions left unfilled.

In its latest annual report and earnings materials, Meta said it remains focused on "operating efficiently" while investing heavily in AI and infrastructure. The company reported quarterly costs of $35.15 billion in January, up 40 percent year-on-year.

Meta said it expects 2026 capital expenditures to be in the range of $115 billion to $135 billion, driven by investments supporting its Meta Superintelligence Labs efforts and core business, including data centers and computing capacity.

The move comes as cofounder and chief executive Mark Zuckerberg makes a priority of delivering "superintelligence" in a costly AI race against rivals including Amazon, Google, Microsoft and OpenAI.

Analysts say Meta is betting that heavy AI investment will boost advertising efficiency and unlock new revenue streams, including smart glasses developed with EssilorLuxottica. Some also expect further job cuts as AI tools increasingly automate tasks previously handled by large teams.

Similar adjustments are underway at other tech giants. According to media reports, Microsoft's chief people officer Amy Coleman introduced a one-time voluntary retirement program for a small percentage of the company's long-serving US employees, a move that could cover thousands of US employees.

As of June 30, 2025, Microsoft employed approximately 228,000 people on a full-time basis, including 125,000 in the United States, according to its annual report.

The company has also been spending aggressively on AI infrastructure. During its fiscal 2026 second-quarter earnings call in January, Microsoft said capital expenditures reached $37.5 billion, with roughly two-thirds of that spending allocated to short-lived assets, primarily GPUs and CPUs.

The moves underscore how major US technology companies are continuing to adjust their workforce structures and cost bases while pouring more resources into AI-related infrastructure, products and technical talent.

XINHUA — Agencies