The mass layoffs,the first in Meta’s 18-year history,follow thousands of job cuts at other major tech companies including Elon Musk-owned Twitter and Microsoft.
The pandemic-led boom that boosted tech companies and their valuations has turned into a bust this year in the face of decades-high inflation and rapidly rising interest rates.
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“Not only has online commerce returned to prior trends,but the macroeconomic downturn,increased competition,and ads signal loss have caused our revenue to be much lower than I’d expected,” chief executive Mark Zuckerberg said in a message to employees.
“I got this wrong,and I take responsibility for that.
“I know this is tough for everyone,and I’m especially sorry to those impacted.”
Meta,whose shares have lost more than two-thirds of their value so far this year,are more than 7 per cent higher on Wall Street on Wednesday.