Meta is set to lay off over 15,000 employees, making up more than 20% of its total workforce, as part of its strategy to offset expenses related to artificial intelligence (AI). After this news broke, Meta’s pre-market stock price climbed by 2.7%, following a nearly 4% drop on Friday. This round of layoffs will be Meta’s largest since late 2022. The company is ramping up its efforts to construct AI infrastructure and incorporate AI technologies to boost efficiency. In 2026, a number of companies have already implemented extensive layoffs as a result of AI-driven transformations. Meta’s capital expenditures in the AI field are projected to hit between $115 billion and $135 billion this year, a development that has sparked concerns among certain investors. Analysts from Jefferies pointed out that Meta’s dual approach of substantially boosting AI investments while simultaneously carrying out large-scale layoffs indicates that AI is propelling shifts in productivity. This, in turn, is prompting investors to reevaluate the interplay between workforce size, growth, and profit margins.