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AI agents meant to replace Meta workers made “large-scale, disruptive actions”
The plan would have shifted thousands of workers into smaller AI-led teams, but employee backlash and weak productivity gains forced a pause.
- In January 2026, Meta CEO Mark Zuckerberg initiated 'Project OT,' a plan to transform the company into an 'AI-native' organization. The strategy faltered amid employee backlash and technical problems, forcing Zuckerberg to cancel a planned second wave of restructuring.
- Internal data revealed that while code changes increased 220% year-over-year, features reaching users rose just 36%. Major technical and security incidents spiked 40% from the previous year, with staff time spent 'firefighting' these issues jumping 70%.
- Employee sentiment plummeted from 74% favorable to 55%, as workers protested internal tracking software and mocked layoffs as the 'elephant in the room.' Executives eventually paused the tracking program and dispatched Chief Financial Officer Susan Li to boost morale.
- Hours before the first layoff wave on May 20, Zuckerberg cancelled the November restructuring. While the company proceeded with a 10% workforce reduction, Zuckerberg subsequently shifted his public messaging, launching a campaign positioning Meta as 'betting on people.'
- Despite the pivot, Meta plans to invest $130 billion in AI infrastructure this year. Zuckerberg argues his vision will create an 'abundance of jobs,' though some employees speculate he may delay further headcount reductions until next year.
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Meta Was Hours Away From Another Massive AI Layoff Wave, Then Zuckerberg Pulled the Plug
Mark Zuckerberg was hours away from starting Meta's first major AI-driven workforce restructuring when he made an unexpected change. The first round of layoffs would still happen. But a second wave, planned for later in the year and potentially much larger, was abruptly cancelled the night before the cuts began. The decision centred on Project OT, short for Organization Transformation, a confidential programme designed to make Meta an AI-native …
·United Kingdom
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Coverage Details
Total News Sources39
Leaning Left5Leaning Right3Center8Last UpdatedBias Distribution50% Center
Bias Distribution
- 50% of the sources are Center
50% Center
L 31%
C 50%
R 19%
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