Facebook’s parent company Meta announced Thursday it will eliminate approximately 8,000 positions, representing roughly 10% of its total staff, as the social media giant continues investing heavily in artificial intelligence technology and recruiting high-priced AI specialists.
The workforce reduction aims to boost operational efficiency and free up resources for new business investments, according to company officials. Bloomberg first broke the story, also reporting that Meta plans to keep approximately 6,000 current job openings vacant.
In a separate development Thursday, Microsoft announced plans to offer voluntary departure packages to thousands of its American employees.
The Redmond, Washington-based technology company will extend these offers in early May to roughly 8,750 workers, representing 7% of its domestic workforce, according to two sources with knowledge of the initiative who requested anonymity.
Unlike the immediate job cuts implemented by technology companies such as Meta and Oracle, Microsoft’s approach provides an alternative through voluntary departures. However, the cost-cutting measures likely stem from similar industry pressures requiring massive investments in artificial intelligence capabilities. Meta has already cautioned shareholders that its 2026 operating expenses will increase substantially to between $162 billion and $169 billion, primarily due to infrastructure investments and compensation packages for AI specialists commanding exceptionally high salaries.
Wedbush financial analyst Dan Ives praised Meta’s workforce reduction in a Thursday investor briefing.
Ives described the move as part of a broader approach utilizing AI technology to “automate tasks that once required large teams, allowing the company to streamline operations and reduce costs while maintaining productivity driving an increased need for a leaner operating structure.”
Microsoft has invested billions operating an expanding worldwide network of data facilities that support cloud computing platforms, artificial intelligence systems, and its productivity software suite, including the AI-powered Copilot assistant.
CNBC earlier Thursday obtained a company memo from Microsoft’s chief people officer Amy Coleman announcing the voluntary retirement initiative.
“Our hope is that this program gives those eligible the choice to take that next step on their own terms, with generous company support,” Coleman stated in the memo, according to CNBC’s reporting.
