Meta Preps 10% Layoff Even as Earnings Beat
What Happened
Wired reports Meta will announce significant layoffs as soon as next week, with sentiment internally described as the worst in years. Over a thousand engineers have been relocated to AI superintelligence teams against their preferences, and Zuckerberg's compensation packages for outside hires have caused open resentment among long-tenured staff.
My Take
Meta's morale problem is the canary for every large tech org pivoting hard to AI. You can't pay one cohort of researchers $100M packages while telling the rest of engineering they're fungible without breaking the culture. The lesson isn't "don't pay for talent" — it's that AI reorgs need a clear narrative about who stays valuable and why. Companies that just bolt an AI lab onto the side of a normal eng org are about to learn this the expensive way over the next twelve months.
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