Tech Job Cuts Rise Across Industry: List of Companies Shifting Investment Toward AI

The advancement of technology, particularly the emergence of artificial intelligence (AI), has led companies to pour much investments into AI, resulting in mass layoffs since 2025.

Meta, Amazon, Pinterest, Other Firms Announce Mass Layoffs

As the tech industry continues its restructuring efforts, more companies are announcing job cuts in recent months, with Meta being the latest to report mass layoffs.

In a memo to its employees, Meta on Thursday announced that it will cut roughly 8,000 jobs next month as it plans to prioritise AI projects. It also said that it is no longer filling thousands of vacant positions it had been hiring for.

The first phase of the mass layoff will commence on 20 May.

The planned layoff is attributed to the company's multibillion-dollar investment in AI systems, including large language models and automation tools.

Reports said the company will spend $135 billion (£100 billion) on the initiative.

In January, Pinterest said it would reduce its workforce by 15% this year to shift resources toward building AI capabilities, adding that it is reducing costs so it can free up cash for AI-related jobs and teams, AI-powered products, and to speed up its sales process, according to the company's filing.

In the same month, Amazon said it is cutting 16,000 jobs. Likewise, Dow, Inc, a leading American materials' science company said that it is cutting 4,500 jobs to shift towards artificial intelligence and automation.

Snap, Inc is also eliminating 1,000 roles and more than 300 vacant positions as CEO Evan Spiegel said the restructuring aims to improve efficiency and growth, as well as take advances in AI.

In March, Oracle started its mass layoff to help the company reduce the money it is losing from spending on AI infrastructure.

At the same time, Atlassian has reduced its staff by around 1,600, or 10% of its workforce, as it focuses more on enterprise customers and AI-driven development.

AI Boom Reshapes Jobs and Transforms How Companies Operates

The surge in layoffs reflects a growing confidence in AI's ability to perform tasks traditionally handled by humans.

Recent reports said more than 73,000 tech workers have lost their jobs so far this year. In 2025, a total of 124,201 layoffs were recorded. Meanwhile, data from Trueup showed that there have been 96,000 layoffs in tech so far.

In a report last year by consulting firm Challenger, Gray & Christmas, AI was to blame for 55,000 layoffs in the US that year.

In a separate study by the Massachusetts Institute of Technology released in November 2025, AI was able to do the job of 11.7% of the US labour market.

Meanwhile, a survey by ResumeBuilder in March 2026 revealed that more companies are inclined and more willing to replace human roles with AI if given the chance.

The study, which was based on responses from senior business leaders in the US, also revealed that nine out of 10 companies said they are ready to accept more employee turnover if it allows them to put more money into AI, IndiaToday reported.

'This is not reluctant belt-tightening, they are willing to absorb turnover and employee dissatisfaction as acceptable costs', said ResumeBuilder's Chief Career Advisor, Stacie Haller.

She added that those who were surveyed believed that AI investment is important and needed for their future.