Meta To Cut 8,000 Jobs, Leave 6,000 Roles Unfilled As Microsoft Offers Buyouts Amid Rising AI Costs

(MENAFN- Live Mint) Meta Platforms will cut about 8,000 jobs, or roughly 10% of its workforce, as part of a restructuring.

The company said it was making the cuts for the sake of efficiency and to allow new investments in parts of its business. It also plans to leave about 6,000 roles unfilled, according to Bloomberg.

While Meta has not disclosed a detailed breakdown of affected departments, multiple reports indicate the restructuring is part of a broader effort to reduce layers of management and prioritise technical and engineering teams. The company has also not publicly outlined severance terms or released the full contents of internal communications to employees.

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The move comes as Meta ramps up spending on artificial intelligence infrastructure and talent. The company has warned investors that its 2026 expenses will grow majorly to the range of $162 billion to $169 billion driven by infrastructure costs and employee compensation, particularly for the artificial intelligence experts it has been hiring at high pay levels.

Meanwhile, Microsoft is offering voluntary buyouts to about 8,750 employees in the United States, covering nearly 7% of its domestic workforce.

The company said the programme is part of“ongoing organisational changes” aimed at positioning it for long-term growth.

“Our hope is that this program gives those eligible the choice to take that next step on their own terms, with generous company support,” Amy Coleman wrote in a memo to employees, according to CNBC.

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“We continue to implement organisational changes necessary to best position the company for success in a dynamic marketplace,” Microsoft said in a statement.

Dan Ives of Wedbush Securities said he sees it as part of a strategy of using AI tools to“automate tasks that once required large teams, allowing the company to streamline operations and reduce costs while maintaining productivity driving an increased need for a leaner operating structure.”

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