Meta Cuts 8,000 Jobs as Zuckerberg Pushes AI Ambitions

Meta Cuts 8,000 Jobs as Zuckerberg Pushes AI Ambitions

MENLO PARK, California, May 22, 2026, 04:01 (PDT)

Meta Platforms CEO Mark Zuckerberg told employees he isn’t planning more company-wide layoffs this year. The comments followed Meta’s move to cut about 8,000 jobs and shift thousands of staff to artificial intelligence roles. That’s roughly 10% of Meta’s workers.

Meta is moving to defend its main advertising unit as it spends heavily on AI infrastructure. The company raised its 2026 capital expenditures forecast to $125 billion to $145 billion, up from a previous range of $115 billion to $135 billion, it said with first-quarter results. Capex covers items like data centers, servers and finance leases.

Meta told staff in emails the cuts are about running leaner and balancing spending, Business Insider reported, pointing to a company email it saw. Meta is also moving over 7,000 people into new AI projects, according to the report.

Zuckerberg tried to boost morale with his note. In the memo, he admitted Meta hadn’t communicated as clearly as it wanted with employees and said the company was working to offer “as much stability as possible” after a stretch of uncertainty, according to Business Insider. Business Insider

Not all staff took the message at face value. Reuters said employees responded to Zuckerberg’s post by pointing to the words “company-wide” and “expect.” Some staff appeared to interpret that as leaving the door open to more targeted or team-level layoffs, despite the CEO’s attempt to reassure them. Reuters

The tie between layoffs and AI spending at Meta is getting attention outside the company. Jason Schloetzer, professor at Georgetown University’s McDonough School of Business, said the language was “cold.” Gil Luria, tech analyst at DA Davidson, put it this way: Meta’s message is clear—it needs to cut costs to pay for AI infrastructure, and those cuts are coming from head count. Business Insider

U.S. workers hit by the layoffs will get 16 weeks of base pay, with another two weeks for every year at the company, and 18 months of healthcare for themselves and their families, according to Business Insider. Staff outside the U.S. will get different severance depending on their location.

Some Meta workers tried to cope with layoffs using humor. According to India Today, which cited The New York Times, a staffer set up an internal radio station called “520 FM” referencing the May 20 layoff date. The station played AI-made songs about layoffs and anxiety at work. India Today

Meta’s overhaul puts it alongside other tech giants making a case to investors that they can pay for AI while keeping costs in line. Business Insider said execs at Microsoft, Google and Salesforce have also talked up job cuts or changes tied to efficiency, automation or AI, but Meta was more explicit about linking cuts to where it wants to spend.

Meta flagged the risk that big spending now could outpace any future payoff. The company said in its earnings that legal and regulatory issues in the U.S. and Europe could hit results. AI projects also need a lot of upfront investment before showing returns.

Zuckerberg wants the rest of the staff to keep working through the transition. He called AI the key tech for the sector, but told employees in his memo that Meta is not counting on a sure win, despite its apps, ads, and infrastructure.

Khadija Saeed

Khadija Saeed is a financial markets reporter at TS2.tech. Her coverage ranges from stocks and technology to emerging industries and developments across global markets. She studied economics and finance at the London School of Economics and worked in market research before becoming a financial journalist. Follow Khadija Saeed on Google News.

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