Meta will lay off roughly 600 employees within its artificial intelligence unit as the company looks to reduce layers and operate more nimbly, a spokesperson confirmed to CNBC.
According to CNBC, the company announced the cuts in a memo from its chief AI officer, Alexandr Wang, who was hired in June as part of Meta’s $14.3 billion investment in Scale AI. Workers across Meta’s AI infrastructure units, Fundamental Artificial Intelligence Research unit (FAIR) and other product-related positions will be impacted.
However, the cuts did not impact employees within TBD Labs, which includes many of the top-tier AI hires brought into the social media company this summer, people familiar with the matter told CNBC.
Those employees, overseen by Wang, were spared by the layoffs, underscoring Meta CEO Mark Zuckerberg’s bet on his expensive hires versus the legacy employees, the people said.
Within Meta, the AI unit was considered to be bloated, with teams like FAIR and more product-oriented groups often vying for computing resources, the people said.
When the company’s new hires joined the company to create Superintelligence Labs, it inherited the oversized Meta AI unit, they said. The layoffs are an attempt by Meta to continue trim the department and further cement Wang’s role in steering the company’s AI strategy.
