Meta is reportedly reducing its US workforce by 10% in May 2026, and another round is expected later this year. Now, in an internal town hall meeting, Mark Zuckerberg, Meta CEO, told employees that the company’s planned layoffs are linked to its rising spending on artificial intelligence (AI)- driven investments.

According to a Reuters report, Zuckerberg addressed the company’s growing AI investment and did not deny the possibility of further layoffs, noting that additional job cuts could still occur. “We basically have two major cost centres in the company: compute infrastructure and people-oriented things,” Zuckerberg said.

Also read: Meta layoffs 2026: The severance package offered to 8000 employees

“If we’re ​investing more in one area to serve our community, then that means we ​have less capital to allocate to the other. So that means we ⁠do need to take down the size of the company somewhat,” he added.  

Zuckerberg also highlighted that there are many speculations of AI automation tools replacing jobs, but he noted that it is not the case for Meta. He said, “Getting everyone internally to use AI tools and getting to do the work more efficiently is not the thing that's driving layoffs." He further said, “We'll see how all this stuff trends,” adding that the company would “be able to share more soon.”

Janelle Gale, Meta's chief people officer, also stated that the company cannot promise that layoffs won’t happen again. It was highlighted that despite the company’s strong performance, it is facing a change in priorities, strong competition, and pressure to control costs.

Now, while Meta’s May 20 layoffs are confirmed, over 8000 employees could be impacted, but it did not lay plans for future workforce reduction measures.

"I wish that I can tell you ⁠that I ​have a crystal ball plan for the next, like, ​three years of how all this stuff is going to play out. I don't. I don't think anyone does," ​he said.