Meta Restructures Workforce Amid AI Focus

A video screen at LlamaCon 2025 in Menlo Park, California displayed the Meta logo on April 29, 2025. The tech company Meta announced a significant reorganization aimed at shifting its resources towards artificial intelligence. Meta, which owns Facebook, Instagram, and WhatsApp, plans to reduce its workforce by around 10%, equating to approximately 8,000 employees, according to an internal memo. The layoffs are set for May.

Company spokesperson Erica Sackin confirmed that affected employees have been notified. Additionally, 7,000 employees will see their roles shift towards AI-related projects. A source familiar with the matter, but unauthorized to speak publicly, stated, “To focus more on AI, they are moving 7,000 people to teams focused on AI projects.” Sackin did not comment on the specific teams involved in the restructuring.

Originally reported by Reuters, the employees will be reassigned to four new teams dedicated to developing AI tools and applications. However, NPR has not verified this report independently. Meta is investing heavily in AI, including large compensation packages and extensive data centers, to keep up with competitors like OpenAI, Anthropic, and Google.

Meta’s anticipated capital expenditures this year nearly double those of last year. This reorganization is one of many tech industry adjustments focusing on AI, which come alongside challenging times for Meta. The company is retreating from the virtual reality ‘Metaverse’, once promoted by CEO Mark Zuckerberg as the company’s future direction.

Earlier in the year, Meta faced legal setbacks in New Mexico and California, where courts ruled that its platforms negatively impacted young people’s mental health. In June, Meta and other tech firms are scheduled for court over claims by school districts that social media has exacerbated a mental health and addiction crisis among students.