Meta has stunned the tech world once again. Despite investing billions in artificial intelligence, the company has now announced a major round of layoffs in the same department.
On October 22, 2025, Meta Platforms Inc. confirmed that about 600 employees from its AI division will be let go, sparking discussions across the tech community.
The move has raised serious questions why would a company betting big on AI suddenly cut jobs in that very area?
Key Takeaways
- Meta is laying off around 600 employees from its AI division to restructure operations.
- Teams like FAIR (Fundamental AI Research), infrastructure, and product units are most affected.
- The decision aims to streamline resources and speed up decision-making.
- Meta’s TBD Labs, known for hiring top talent from rivals, remains unaffected.
- Despite layoffs, Meta continues to invest heavily, spending $60–65 billion on AI in 2025.
What’s Happening Inside Meta
Meta, the parent company of Facebook and Instagram, is reorganizing its AI teams to stay competitive in the global race toward “superintelligence.”
The layoffs, confirmed through an internal memo from Chief AI Officer Alexandr Wang, have affected major teams including FAIR, AI infrastructure, and product-related roles.
Interestingly, TBD Labs, Meta’s elite AI group that includes many former OpenAI experts, remains intact.
This selective approach shows that Meta is focusing on smaller, high-performing teams rather than large departments.
The company reportedly spent $14.3 billion on Scale AI and expanded hiring in recent years.
However, internal reports described the AI division as “bloated,” with overlapping projects and unclear priorities. By cutting roles, Meta aims to boost efficiency and focus on critical areas.
Affected employees are eligible to apply for other internal positions and will receive 16 weeks of pay, plus two additional weeks for every year of service.
Why These Layoffs Matter
This decision is not isolated. The tech industry has been witnessing a similar pattern in 2025.
According to reports, global tech layoffs have reached 946,426, with nearly 17,000 jobs lost in AI-related roles.
Companies like Microsoft, Amazon, and Intel have also reduced staff, citing automation and AI-driven restructuring.
For professionals, this is a reminder that even fast-growing sectors like AI are not immune to corporate shifts.
Here’s a quick overview of the situation:
| Aspect | Details |
|---|---|
| Scale | 600 jobs cut, a small portion of Meta’s 75,945 employees (as of June 2025). |
| Financial Context | $60–65B in AI spending for 2025, including a $27B Hyperion data center deal. |
| Stock Impact | META shares dipped by 0.4–0.6% on October 22 but remain up 25% year-to-date. |
| Public Reaction | Divided — some call it hypocritical, others see it as a smart refocus. |
Meta’s AI Layoffs : Online Reaction
Social media is flooded with reactions. On X (formerly Twitter), users pointed out the irony of AI layoffs in a company investing heavily in AI development.
One viral post read, “AI cutting AI jobs… only Meta could pull this off,” highlighting the frustration.
On professional platforms like Blind, employees expressed disappointment, with one commenting, “People forget that behind every job title is a family.”
Meanwhile, supporters believe this is a calculated move by Meta’s leadership to maintain focus on top-tier innovation.
Meta’s continued development of open AI models like Llama also earned praise, especially as competitors like OpenAI and Google rely on more closed systems.
Meta’s AI Layoffs : What It Means For You
If you’re part of the tech or AI workforce, this moment signals a shift in the industry.
Companies are prioritizing specialized roles and operational efficiency over team size.
Job stability in AI is no longer guaranteed, even as spending increases.
Despite the layoffs, Meta’s AI budget of up to $65 billion and large-scale infrastructure investments show that its AI journey is far from over.
The company is becoming more selective, focusing on innovation and speed rather than expansion.
As Meta prepares to release its Q3 2025 earnings on October 29, all attention will be on how these changes reflect in performance.
Whether this move brings efficiency or exposes deeper challenges will soon become clear. One thing is certain the AI race is intensifying, and Meta plans to stay ahead.
