The termination of about 50 executives is set to occur in the current round of layoffs. This decision is part of a larger strategy to adapt to changing market conditions. Meta is reportedly planning to reduce the number of vice president roles in order to make significant cuts. The company is striving to cut expenses and streamline operations in response to a challenging economic environment.
This restructuring sets the stage for Meta’s future leaner organizational structure, focusing on efficiency and agility for sustained growth and innovation. The goal is to address evolving market dynamics while ensuring the organization’s long-term viability and technological leadership.
In recent times, thousands of employees have been laid off at Meta, with 11,000 losing their jobs in November 2022 (13% of the workforce at the time) and another 10,000 in March 2023. Recruiting for 5,000 unfilled positions has also been put on hold.
Mark Zuckerberg has announced Meta’s shift towards becoming a more robust tech company, with a focus on artificial intelligence and the metaverse. The management structure will be streamlined, unnecessary projects will be discontinued, engineering resources will be optimized, and significant investments will be made in new AI tools and technologies.
Meta’s artificial intelligence (AI) and Reality Labs metaverse division is expected to receive $35-40 billion by 2024, a $5 billion increase from the initial projection. This substantial investment reflects Meta’s strategic shift towards developing cutting-edge AI products and services to drive future growth.
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