Meta Lays Off THOUSANDS In The Wake Of SVB Collapse

Meta has announced that it plans to lay off an additional 10,000 workers, in addition to the initially planned cuts of 11,000 jobs.

In response to the announcement, shares saw upward price action:

Meta shares jump after Zuckerberg announces more layoffs $META

CNBC's Julia Boorstin reports on news that Meta CEO Mark Zuckerberg plans to lay off another 10,000 workers.

Watch it here 👀 https://t.co/llzOYwynxb

— Tech News Club (@TechNewsClub) March 14, 2023

The company claims that the layoffs are due to increasing efficiency at the company, as Meta moves to drastically overhaul its focus and revenue models.

Tech Estate provided details on the first round of cuts:

The first round of cuts is expected to come this week and will impact Meta’s non-engineering workers particularly hard, sources told the WSJ, which notes that the company could also shutter some teams and projects in connection with the layoffs.

— Tech Estate 🌍 (@techestate_io) March 14, 2023

Mark Zuckerberg states, via The Associated Press:

“This will be tough and there’s no way around that,” said CEO Mark Zuckerberg.

“It will mean saying goodbye to talented and passionate colleagues who have been part of our success.”

While the company officially states that these are ‘efficiency’ cuts so they can focus on their metaverse and virtual reality efforts, related developments cannot be ignored. …

Signature Bank, Silvergate, and Silicon Valley Bank have all collapsed, and Silicon Valley Bank was at the heart of new tech start-ups and the tech industry as a whole.

An industry that is deeply interconnected through a shared venture capitalist network and, therefore, more susceptible to systemic risks and collapse—once one domino falls, others fall.

Could these recently announced layoffs have anything to do with the recent collapse of SVB and less to do with the changing dynamics of the industry?

As the ripples caused by the collapse of Silicon Valley Bank continue to push outward, here are just some of the headlines about the ongoing banking collapse:

SVB had approximately $209.0 billion in total assets and about $175.4 billion in deposits in December 2022. To say the least, Silicon Valley Bank means a lot to many startups, so what caused #SVBCollapse ?#fintech #fintechnews #SVBCrash #SVBUKhttps://t.co/5DGk9zEomh

— fintechpad (@fintechpad) March 14, 2023

Moody’s, the ratings agency, has downgraded the US banking system from “stable” to “negative”. The collapse of #SVB has fuelled a “rapid deterioration in the operating environment” it says. Better late than never? Buy #gold with #Glint and avoid risky banks

— Glint (@Glintpay) March 14, 2023

The Epoch Times writes:

Roughly 128,000 technology industry employees from 483 companies have been laid off since the start of the year, according to the industry employment tracking website Layoffs.Fyi.

At the current pace of around 51,200 job losses per month, about 614,000 tech employees could lose their current jobs through the end of the year.

That would represent around a 280 percent increase from 2022, when 160,997 people got pink slips, according to Layoffs.Fyi.