Meta lays off hundreds of employees as it shifts money into AI

Meta is laying off hundreds of employees across the company, The New York Times, NBC News and The Information reported on March 25, 2026. The cuts hit recruiting, sales and social media teams, as well as Reality Labs, the unit that develops the company's smart glasses and VR headsets.

Which units were hit by the cuts

The layoffs cover several areas at once: recruiting, sales, social media and Reality Labs, the unit responsible for smart glasses and virtual reality headsets. According to NBC News, the cuts affected five company units, including areas tied to VR and artificial intelligence. The New York Times headline points to a figure of about 700 employees and notes that Meta continues to reward its senior executives while making the cuts.

• The New York Times, NBC News and The Information were first to report the layoffs, on March 25, 2026
• Recruiting, sales, social media and Reality Labs teams were affected
• Reality Labs is the Meta unit that develops smart glasses and VR headsets
• According to the New York Times headline, the number is roughly 700 employees
• NBC News reports five affected company units, including VR and AI areas
• Meta spokesperson Tracy Clayton gave the official comment to The Verge

What Meta said

The company did not give an exact number of laid-off employees in its official comment, but it confirmed the cuts themselves. "Teams at Meta regularly restructure or make changes to put themselves in the best position to achieve their goals," Meta spokesperson Tracy Clayton said in a written comment to The Verge.

"Where possible, we are looking for other opportunities for employees whose positions may be affected," —

Tracy Clayton, Meta spokesperson.

Clayton declined to comment further, in particular on the exact number of eliminated positions and on details for specific teams.

Why the headline links the layoffs to AI spending

The Verge's article is headlined bluntly: Meta is laying off hundreds of employees even as it increases its investment in artificial intelligence. The published excerpt of the article does not say which AI projects are involved, and the quoted portion contains no details on the investments, but the wording of the headline ties the two processes together. The NYT headline adds another detail: the layoffs coincide with the company continuing to reward senior executives, which means the savings are not being applied equally at every level of the company.

What this means

The cuts show that even as it raises AI spending, Meta keeps trimming staff in adjacent areas: recruiting, sales and Reality Labs. Officially, the company calls this routine restructuring, but the headlines of The Verge and The New York Times directly link the layoffs to growing AI investment and the simultaneous rewarding of leadership.

Frequently asked questions

How many employees did Meta lay off, and when?

The company has not disclosed an official figure. According to The New York Times, NBC News and The Information, the layoffs involve hundreds of employees, and the NYT headline points to roughly 700 positions. The news of the layoffs came out on March 25, 2026.

Which Meta units were hit by the cuts?

Recruiting, sales, social media and Reality Labs, the smart-glasses and VR-headset unit, are confirmed. NBC News reports that the cuts affected five company units overall, including VR and AI areas.