According to anonymous sources, Meta, parent company to social network giants Facebook, Instagram, and WhatsApp, plans to layoff thousands of employees in the next week. Meta, the parent company of Facebook, Instagram and WhatsApp, is reportedly planning to lay off thousands of employees within the next week. This news comes only months after Meta reduced around 13% or 11000 employees in January this year. The latest layoffs are expected to be completed before CEO Mark Zuckerberg goes on parental leave for the birth of his child with wife Priscilla.

In recent years, many tech companies have reduced their workforces. From Twitter to Microsoft. Facebook’s decision, to reduce its workforce, was met with a positive reaction on Wall Street. Its stock price rose to US$185.89 (+0.99; +0.54%).

In the tech sector, companies constantly adapt to market changes and are always evolving. The scale of these layoffs, however, has caused concern among industry analysts.

Sources familiar with the situation say that the layoffs will primarily affect those employees who work on hardware and virtual-reality projects. These divisions, despite significant investments by Meta, have struggled to gain traction on the market.

This move is part a larger strategy to refocus the company’s efforts on the core social media businesses and advertising, which are the main sources of revenue. Facebook’s core social media platforms, such as Facebook, Instagram and WhatsApp, continue to grow, despite the increased competition from newer platforms like TikTok or Clubhouse.

Experts in the industry have had mixed reactions to the decision to layoff employees. Others argue that the decision is necessary to maintain the company’s viability in the long term, while others are concerned that it will undermine morale and cause a brain-drain of talent.

Meta faces significant challenges in its quest to remain a leader in the tech sector, regardless of the result. If the company wants to remain relevant and grow in future years, it will have to carefully navigate these challenges.