Meta cuts 8,000 jobs as AI infrastructure consumes its budget
Meta is cutting roughly 8,000 jobs while redirecting about 7,000 employees toward AI and planning up to $145 billion of 2026 capital spending.
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Meta began cutting roughly 8,000 jobs, about 10% of its workforce, while redirecting approximately 7,000 employees toward AI-related teams. The company has framed the reductions around the enormous cost of AI infrastructure rather than claiming that AI directly replaced every affected worker. Meta's 2026 capital-expenditure forecast reaches as high as $145 billion, roughly double its 2025 spending. The restructuring is a major example of AI changing corporate resource allocation even before productivity evidence is clear: profitable technology companies are trading headcount for compute, data centers, and new model teams. The layoffs and the new Workforce Academy together show the uneven labor transition, with white-collar cuts occurring alongside demand for construction trades.
Key details: May 20, 2026, About 8,000 jobs cut, About 7,000 employees redirected toward AI, Up to $145B 2026 capital spending, Roughly 10% workforce reduction.
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