Meta Plans Sweeping Layoffs As AI Costs Mount

Meta Plans Sweeping Layoffs As AI Costs Mount (reuters.com) 21 An anonymous reader quotes a report from Reuters: Meta is planning sweeping layoffs that could affect 20% or more of the company, three sources familiar with the matter told Reuters, as Meta seeks to offset costly artificial intelligence infrastructure bets and prepare for greater efficiency brought about by AI-assisted workers. No date has been set for the cuts and the magnitude has not been finalized, the people said. Top executives have recently signaled the plans to other senior leaders at Meta and told them to begin planning how to pare back, two of the people said. If Meta settles on the 20% figure, the layoffs will be the company's most significant since a restructuring in late 2022 and early 2023 that it dubbed the "year of efficiency." It employed nearly 79,000 people as of December 31, according to its latest filing. The speculation follows a recent report from The New York Times claiming that Meta has delayed the release of its next major AI model after falling behind competing systems from Google, OpenAI, and Anthropic. How many billions (Score:2) does Meta own? Re: (Score:2) Not enough for the "AGI" ravings of cuckerberg. May Meta choke on its AI savings bet (Score:5, Insightful) and all the disgusting corporations putting profits above people's livelihoods along with it. That is all. Re: (Score:2) It isn't a "savings" bet, it is the bet of meta's super-smart captain that by putting everything into one basket and getting to "AGI" first, he'll achieve world domination before musk or slopman. Kinda like the story of the lord of the rings, except zuck believes it is true. Re: (Score:2) Re: (Score:2) Yeah, that's the vibe I get from it too. Wow (Score:4, Insightful) Slashdot's pincer movement (Score:2, Offtopic) Mongo DB gen AI from the bottom, Retool AI from the top, losing about 20% of page real estate, and the rest filled with stories mostly about AI Re: (Score:2) Some ublock rules I use for this which might help: slashdot.org##div[id=announcement] slashdot.org##div[id=mdb-sticky] slashdot.org##div[id=sitewide-top-banner-placeholder] slashdot.org##div[id=vibe-coding-bar] Sorry I can't do much about all the pseudo-"AI" horseshit though. Reminder (Score:3) 20% of Meta's salaries is still a fraction of the cost of just one of their proposed data centers. Two things are true here: 1) AI is stupidly expensive and has no meaningful ROI (financially speaking). 2) Layoffs are continued to be blamed on AI, when poor decisions by humans are actually to blame. Re: Reminder (Score:2) Re: (Score:2) AI does improve productivity. It is a fact. Whether companies use it as a pretext for larger layoffs is another matter. AI lies. It often deludes itself. And that is a fact. I don't call that "productivity". I call that a high-risk hire equivalent to a 16-year old giving instruction on the jobsite, just old enough to assume they know everything and are right about it. Re: (Score:2) Re: (Score:2) 20% of Meta's salaries is still a fraction of the cost of just one of their proposed data centers. Two things are true here: 1) AI is stupidly expensive and has no meaningful ROI (financially speaking). 2) Layoffs are continued to be blamed on AI, when poor decisions by humans are actually to blame. Ironically enough, Meta doesn't have to worry as much about laying off their workers and affecting their actual revenue stream, since 99% of them don't actually pay Meta for any service they provide. The other problem with Too Big To Give A Shit, is companies like Amazon who can still lay off 20% of their customer workforce and still be too large to feel it. I wonder how history will paint the Magnificent Seven after the market crash they create. Here's an idea (Score:2) Milli Vanilli? (Score:2) isn't it ironic (Score:2) You're training the AI to do the job of the guy next to you, but that guy was ten steps ahead of you. How Many Companies Are Being Run Using AI? (Score:2) Unsurprising (Score:3) There is nothing at all surprising about this, you have to look at what AI fluent operators can DO with frontier LLMs. I have a health care startup that has been enabled by Anthropic's AI. The $100/month I pay for Claude Max gets me the full time equivalent of a really smart (but completely unseasoned) developer, and a half time MBA research assistant. I spend time every day trying to figure out how to employ the 40% of my weekly allocation that currently goes unused. Clawdbot and its successors are sketchy AF, but I did just give Claude Code the run of a one liter HP EliteDesk with a Proxmox cloud install. No way would I trust it with production systems, but for exploring new stuff it'll get the job done, so long as I stand over it. If you're any sort of knowledge worker and you can't tell a similar story to this, your career is pretty much cooked. Can we just admit we're in a recession now? (Score:2) We put an orange baboon that diddles kids in charge of everything because he promised cheap eggs. So yeah recession was a guarantee but I don't think anyone thought the damage would be so quick. The real problem is that he's obviously racing to get as much done before the midterms so the damage is much larger and also usually we get 8 years to recover from the last Republican. And if it makes you unc