Tech Firms Slash Jobs While Pouring Billions Into AI

Major technology companies are reducing headcount even as they commit record sums to artificial intelligence infrastructure. Meta Platforms disclosed plans to cut several thousand positions in its core teams while increasing capital spending to more than $60 billion this year, largely for data centers and AI hardware. Similar patterns appear at Google parent Alphabet and Amazon, where efficiency drives coincide with accelerated AI investment. Internal employee surveys at multiple firms show declining morale tied to repeated rounds of layoffs and uncertainty over future roles. The central tension is whether these cuts free resources for AI or simply reflect caution after years of rapid hiring. No independent verification exists yet on the precise net effect on overall employment across the sector.