Meta Platforms is set to sack an additional 10,000 jobs across its operations, Meta’s Chief Executive and Founder Mark Zuckerberg announced Tuesday
The tech giant that owns the apps Facebook, Instagram and WhatsApp announced the layoffs months after it approved 11,000 redundancies last November.
Meta will also be closing an additional 5,000 positions within the company, according to the memo. Zuckerberg said in his statement the job cuts would be “tough” amid the company’s “year of efficiency” plans.
Zuckerberg added that he believed the company had suffered a “humbling wake-up call” due to poor revenues in 2022. The earnings of the firm fell 4 percent over the year, even though it made more than $23 billion USD in profit that year.
He stated in his statement:
“For most of our history, we saw rapid revenue growth year after year and had the resources to invest in many new products. Last year was a wake-up call. Our growth rate slowed significantly due to the changes in the world economy, increased competitive pressures and a changing global economy. We scaled back budgets, shrunk our real estate footprint, and made the difficult decision to lay off 13% of our workforce.”
He added that higher interest rates across the United States, geopolitical instability, and tightening regulations had hit Meta’s business operations.
Zuckerberg added: “I think we should prepare ourselves for the possibility that this new economic reality will continue for many years.”
Metaverse to Focus on AI, Metato
Zuckerberg added that Meta had been working on “transformative” technologies and that advancing [artificial intelligence] It was the largest single investment. He added that the firm had the infrastructure to develop the emerging technology “at unprecedented scale” with “amazing” experiences.
The exec continued,
“Our leading work building the metaverse and shaping the next generation of computing platforms also remains central to defining the future of social connection. And our apps are growing and continuing to connect almost half of the world’s population in new ways. This work is crucial and the stakes here are very high. The financial plan we’ve set out puts us in position to deliver it.”
He explained that Meta would be more transparent about its restructuring plans, timelines and principles for its future.
He said, “Concluding,”
“In terms of how we should operate during this period, I encourage each of you to focus on what you can control. Do great work and help your colleagues. Our community is resilient. Change is never easy, but I know we’ll get through this and come out an even stronger company that can build better products faster and enable you to do the best work of your careers.”
Recap of Big Tech Displacements
This news comes days after Bloomberg reported that Meta Platforms would be launching layoffs. Sources familiar with the matter said the Bloomberg report was based on sources. Sources were not available due to internal discussions. Meta declined to comment.
Numerous tech giants have been cutting their workforces over the past few months. This includes Google parent company Alphabet and Microsoft as well as Amazon, Microsoft, and other tech giants in the current tech crisis.
Microsoft also shut down its Integrated Visual Augmentation System for the US Army (IVAS), and AltSpaceVR social metaverse platform.
In a later year, the company laid off 10,000 workers. It cited the need to restructure its business and prioritise its customer needs.
Layoffs.fyi is a website that monitors redundancies in the tech sector. reported In 2023, there will be over 128,000 job reductions.