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techcrunch ai · July 2, 2026

Meta cut 8,000 jobs for AI — and agents are lagging

mark zuckerberg told staff meta's ai agents aren't progressing as expected after cutting 8,000 jobs. this signals even big tech is finding agent adoption harder than predicted.

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mark zuckerberg admitted during an internal town hall that meta's pace of ai agent development has not met executive expectations, complicating the company's recent pivot. this assessment follows a restructuring earlier this year where meta laid off 8,000 employees and reassigned another 7,000 to ai units like 'agent transformation'. zuckerberg noted that the anticipated benefits of this new structure have not yet materialized, though he predicts improvements within three to six months. the company continues to invest heavily, planning to spend up to $145 billion on ai infrastructure this year. reports suggest the internal ai unit faces high pressure, described by some engineers as a 'soul-crushing' environment.

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