Meta Lays Off 700 Employees to Focus on AI
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 25 2026
0mins
Should l Buy META?
Source: NASDAQ.COM
- Layoff Announcement: Meta has announced the layoff of approximately 700 employees, primarily concentrated in Reality Labs and certain roles related to recruitment, sales, and Facebook operations, as part of its strategy to reallocate resources towards artificial intelligence to enhance competitiveness in this sector.
- Executive Compensation Plan: Following the layoffs, Meta unveiled a new stock compensation initiative for six senior executives, including Andrew Bosworth, Chris Cox, and Susan Li, which could potentially amount to $921 million each over a five-year period, aimed at incentivizing executives to achieve aggressive growth targets.
- Shift in Investment Focus: Mark Zuckerberg is intensifying investments in artificial intelligence, forecasting a minimum expenditure of $115 billion for 2023, predominantly allocated to AI infrastructure investments such as the establishment of new data centers, as the company advances towards sophisticated AI systems and enhanced productivity through automation.
- Long-term Growth Objectives: Meta aims to elevate its valuation from approximately $1.5 trillion to $9 trillion by 2031, with the stock program designed to retain key leadership talent and align executives with the company's long-term growth objectives.
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Analyst Views on META
Wall Street analysts forecast META stock price to rise
44 Analyst Rating
37 Buy
6 Hold
1 Sell
Strong Buy
Current: 579.230
Low
655.15
Averages
824.71
High
1117
Current: 579.230
Low
655.15
Averages
824.71
High
1117
About META
Meta Platforms, Inc. is building human connections, powered by artificial intelligence and immersive technologies. The Company's products enable people to connect and share with friends and family through mobile devices, personal computers, virtual reality (VR) and mixed reality (MR) headsets, augmented reality (AR), and wearables. It also helps people discover and learn about what is going on in the world around them, enabling people to share their experiences, ideas, photos, videos, and other content with audiences ranging from their closest family members and friends to the public at large. The Company's segments include Family of Apps (FoA) and Reality Labs (RL). FoA segment includes Facebook, Instagram, Messenger, WhatsApp and Threads. RL segment includes its virtual, augmented, and mixed reality related consumer hardware, software and content. Its product offerings in VR include its Meta Quest devices, as well as software and content available through the Meta Horizon Store.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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