Money for AI: Meta Platforms announces layoffs for every tenth employee

Meta Platforms has internally announced a new wave of layoffs. The workforce is to be reduced by one tenth. This corresponds to almost 8,000 layoffs. Meta has confirmed a corresponding report by Bloomberg to heise online as correct; the data group does not comment further.

The layoffs will explicitly affect employees who have made “meaningful contributions,” writes Chief People Officer Janelle Gale in an internal circular. The Wall Street Journal has a copy. Those affected are to be informed on May 20. In addition, the data group is withdrawing 6,000 job postings.

Meta needs funds for AI

Gale cites efficiency gains and offsetting investments as reasons for the layoffs. Last year, Meta spent a good 72 billion US dollars on long-term assets -- primarily data centers for artificial intelligence. This year, this item is expected to rise to 115 to 135 billion dollars. This exceeds even Meta's current assets. And once built, data centers incur operating costs.

To strengthen cash flow, management has decided to lay off thousands of employees. In the department for the failed Metaverse, Meta Platforms has already tightened its belt twice this year: at the beginning of the year, 1,500 employees were let go, and another 700 in March.

Meanwhile, Meta's classic advertising business is booming. More users than ever are watching more ads than ever on Meta Platforms' services. At the same time, Meta can charge more for them than ever before. The fourth quarter of 2025 was a record quarter for the company. Quarterly revenue was almost a quarter higher than a year earlier, reaching almost 60 billion US dollars. At the same time, Meta is paying significantly less in taxes. Meta wants to announce the financial figures for the first quarter of 2026 next week.

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