On March 25, Meta laid off approximately 700 employees—just hours after unveiling a stock plan that could add up to $921 million per executive for six of its top leaders over the next five years. The contrasting moves highlight Meta’s aggressive pivot to AI, even as it scales back non-core operations.
The layoffs primarily hit Meta’s Reality Labs division, which focuses on VR and the metaverse, along with recruiting, sales, and some Facebook teams. The company said the restructuring is part of its push to streamline operations and focus on artificial intelligence.
CEO Mark Zuckerberg has been investing heavily in AI, spending billions last year to build a team of top researchers. Meta plans to invest at least $115 billion in AI in 2026, including new data centers. Zuckerberg has argued that AI tools will allow fewer employees to accomplish more, calling 2026 “the year AI begins to fundamentally change how we work.”
The layoffs come amid other pressures. On the same day, a Los Angeles jury ruled that Meta is liable for addictive design features on Instagram that harmed a young user—a decision that could open the door to more lawsuits over user welfare.
ICgoodFind : Meta cuts 700 jobs while rewarding executives with nine-figure paydays. The message is clear: AI is the priority, and everything else is on the chopping block.
