Meta has thrown billions of dollars at its artificial intelligence efforts. Somehow, that is apparently resulting in fewer people being employed. According to a report from Axios, about 600 people lost their jobs in Meta’s “superintelligence” lab in an effort to create a less “bureaucratic” structure.
The cuts will reportedly primarily hit Meta’s FAIR AI research lab, which was the company’s long-standing AI research unit, as well as the company’s product-related AI teams and its AI infrastructure units. “By reducing the size of our team, fewer conversations will be required to make a decision, and each person will be more load-bearing and have more scope and impact,” Meta chief AI officer Alexandr Wang said in a memo obtained by Axios. TBD Lab, which is tasked with “developing the next generation” of the company’s large language models, was reportedly spared from the layoffs.
The company also reportedly encouraged the employees affected by the layoffs to apply for other open positions within the company, with Wang writing, “This is a talented group of individuals, and we need their skills in other parts of the company.” No word on whether there were efforts to move people into those roles before telling them to put their belongings in a box.
The restructuring is just the latest example of Meta desperately playing catch-up in the AI race. Earlier this year, the company made waves with a hiring spree that saw it throw massive, multi-million dollar paydays at top talent in an effort to poach them from its rivals. It succeeded in luring them away, but hasn’t necessarily figured out what comes next. Some recipients of those big signing bonuses threatened to leave within weeks of joining the company, according to the Financial Times, presumably over the lack of direction within the company. Others did dip, reportedly including people who had been with Meta for years.
Zuck’s company has seemingly yet to figure out what the shape of its AI operation should be. In addition to shelling out NBA max contract-sized payouts, the company poured $15 billion into Scale to get the company’s talent and infrastructure. Since absorbing all that, it has failed to figure out what to do with it. It announced its Superintelligence initiative first to unify its efforts in the AI space, but broke it up into multiple divisions within a matter of weeks. In the meantime, it looks like it’s the employees that Meta isn’t spending millions of dollars on who will be penalized for organizational incompetence.
