The company confirmed the cuts, which employees had been anticipating for weeks, as Meta pushes billions of dollars into artificial intelligence.

Scope of the cuts

Meta will eliminate 8,000 jobs in what the company has described as its largest round of layoffs since 2023. Employees had been expecting the reductions for weeks before the announcement.

Microsoft is moving in a parallel direction, offering voluntary buyouts to 8,750 workers — the first time the company has taken that step.

AI spending as the backdrop

The workforce reductions come as Meta continues to direct significant capital toward artificial intelligence development. The job cuts are being framed internally as part of a broader restructuring to redirect resources toward AI priorities.

Acquisition blocked

Meta's AI push has encountered friction abroad. China moved to block the company from acquiring AI startup Manus, with Beijing citing intensifying geopolitical rivalry over artificial intelligence between China and the United States. Meta said the proposed transaction "complied fully with applicable law" and that it anticipates "an appropriate resolution to the inquiry."

Employee data for AI training

Separately, Meta said it will collect data on the way employees interact with their computers — including clicks and keystrokes — to feed into its artificial intelligence models.

Wider industry pressure

The moves at Meta and Microsoft reflect broader turbulence in the technology sector as companies recalibrate headcount while racing to scale AI capabilities. The Pentagon announced deals with seven AI companies for classified systems in the same period, and the White House issued a memo claiming widespread theft of US AI models by firms primarily based in China.