This article first appeared on GuruFocus.

Oct 22 – Meta (NASDAQ:META) is about to cut about 600 jobs across its artificial intelligence division as part of efforts to streamline operations and improve efficiency.

The layoffs affect teams working in Meta’s AI infrastructure, Fundamental Artificial Intelligence Research, and related product groups. Employees were informed their roles will end Nov. 21, though they remain on paid notice until then.

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Chief AI Officer Alexandr Wang, who joined in June following Meta’s $14.3 billion investment in Scale AI, said the restructuring aims to reduce layers and help teams move faster. Meta will provide at least 16 weeks of severance pay, plus two additional weeks for each year of service.

The move comes as Meta invests heavily to compete with artificial intelligence leaders like OpenAI and Google (GOOGL). CEO Mark Zuckerberg has reportedly been dissatisfied with the pace of progress after the release of the company’s Llama 4 models earlier this year.

Following its investment in Scale AI, Meta formed the Superintelligence Labs unit, co-led by Wang and former GitHub CEO Nat Friedman, to accelerate large-scale AI development.

Meta shares slipped about 1% in afternoon trading. The company will report third-quarter earnings next week.