Meta, the company that owns Facebook, Instagram, and WhatsApp, has declared it will cut 10,000 positions.
This will be the second round of significant layoffs at the software powerhouse after 11,000 workers were let go in November.
In a memo, Mr. Zuckerberg expressed his belief that the company’s sharp sales deceleration in 2022 had served as “a humbling wake-up call” for it.
He informed colleagues that in addition to the 10,000 job cuts, 5,000 open positions at the company will remain vacant.
Mr. Zuckerberg listed more regulation, worldwide geopolitical unrest, and higher US interest rates as among the reasons hurting Meta and causing the slowdown.
“I think we should prepare ourselves for the possibility that this new economic reality will continue for many years,” he said.
The most recent layoffs occur as businesses, including Google and Amazon, struggle with how to strike a balance between cost-cutting measures and the need to maintain competitiveness.
Almost 128,000 jobs have already been lost in the tech sector in 2023, according to layoffs.fyi, a website that analyzes employment losses in the industry.
The additional danger associated with meta comes from Mark Zuckerberg’s massive bet that the metaverse will be The Next Big Thing. If he’s correct, his company will reclaim its throne; yet, if he’s wrong, the $15 billion or more he’s already spent on it might vanish in a cloud of mixed reality smoke.
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