Meta to Layoff 600 Employees in Strategic AI-Driven Restructuring

Meta will cut around 600 jobs from its artificial intelligence unit as part of a company-wide restructuring, as per the news reports. The layoffs are to reduce overlapping roles and simplify the organisation’s AI setup. The update was shared through an internal memo by Chief AI Officer Alexandr Wang, who joined Meta in June this year.

Teams Impacted

The job cuts will affect employees across AI infrastructure, Fundamental AI Research (FAIR), and product-related AI teams. Staff were told their final working day will be November 21, 2025. They are currently on a non-working notice period, with access to company systems removed. Employees can use this time to look for other roles within Meta.

Severance and Internal Changes

According to the memo, Meta will provide 16 weeks of base pay as severance, plus two additional weeks for every completed year of service, excluding the notice period. The restructuring follows reports of overlapping responsibilities between FAIR and product teams, which created delays in development work.

TBD Labs Not Affected

Employees in TBD Labs, a division working on large language models, will not be impacted. These teams include many of Meta’s recent hires and continue to be a key part of the company’s AI development. Insiders said the division had become too large, and the layoffs aim to bring operations under tighter control.

AI Expansion and Costs

Meta continues to spend heavily on AI. After the cuts, the Superintelligence Labs workforce will be below 3,000 people. The company has projected total expenses for 2025 between $114 billion and $118 billion. Earlier this week, Meta signed a $27 billion deal with Blue Owl Capital to fund a new data centre project called Hyperion in Louisiana.

Startups Hiring Affected Staff

Following the layoffs, several startups have offered positions to former Meta employees. Sudarshan Kamath, founder of Smallest AI, announced openings in the company’s speech team in San Francisco, with pay ranging between $200,000 and $600,000 per year.

Read More: Microsoft CEO Nadella Gets Highest-Ever $96.5 Million Compensation Amid AI Push!

Conclusion

The layoffs reduce Meta’s AI headcount but keep core teams intact as the company restructures its operations around newer AI projects.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.