Meta Cuts 8,000 Jobs to Fund AI, Proposes Limited Free WhatsApp API Access
META•Meta begins notifying 8,000 employees of layoffs, about 10% of its workforce, as part of a restructuring to fund its $125 billion to $145 billion AI capital expenditure plan for 2026. The company also proposed granting rival AI chatbots limited free WhatsApp API access in Europe before payment thresholds to ease regulatory concerns.
1. Largest Companywide Layoffs Since 2023 Efficiency Drive
Meta has notified roughly 8,000 employees, or 10% of its ~80,000 workforce, that they are being laid off in a first wave of a companywide restructuring aimed at reallocating resources toward AI initiatives. North American staff were asked to work remotely on notification day, and American workers will receive a minimum of 16 weeks' severance plus two additional weeks per year of service, with 18 months of health coverage extension.
2. AI Capital Expenditure to More Than Double
Under CEO Mark Zuckerberg, Meta projects 2026 capital expenditures between $125 billion and $145 billion—over twice its 2025 outlay—as it sharpens focus on AI capabilities and engineering. Alongside cuts, roughly 7,000 employees will be transitioned into new Applied AI Engineering, Agent Transformation Accelerator XFN, and Central Analytics teams, streamlining managerial layers into smaller, faster-moving pods.
3. EU WhatsApp API Proposal to Address Antitrust Concerns
In Europe, Meta proposed limited free access to WhatsApp's business API for rival AI chatbots until specific messaging thresholds are reached, after which providers would pay fees. The move is designed to preempt interim measures by EU regulators seeking to preserve competition in AI digital markets, though some smaller AI companies have criticized the plan as insufficient.
