Meta Just Signed a $27 Billion AI Deal While Reportedly Planning to Fire 20% of Its Workers
Meta is spending $27 billion on AI infrastructure with a company most people have never heard of, while simultaneously considering cutting a fifth of its workforce. Make it make sense.
Meta, the company behind Facebook and Instagram, just signed a jaw-dropping $27 billion AI infrastructure deal with Nebius, a Dutch cloud provider most people have never heard of. Nebius stock jumped 13% on the news.
But here's where it gets wild: at the same time, weekend reports suggest Meta may be considering laying off at least 20% of its entire company. That's potentially thousands of people losing their jobs while the company writes a $27 billion check for AI servers.
This is the story of Big Tech in 2026 in a nutshell. Companies are pouring unimaginable amounts of money into AI while cutting the humans who built these companies in the first place. The bet is clear: AI infrastructure will generate more value than the employees it replaces.
The news sent tech stocks soaring on Monday morning, with the Nasdaq getting a strong boost. Investors love the AI spending. Whether employees feel the same way is another story entirely.
As reported by CNBC and TheStreet.
Source: CNBC
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