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Meta’s Layoff Cost Savings Won’t “Make as Big of a Dent” — Is This About AI?
Analysts have begun to weigh in on tech giant Meta’s META +2.95% ▲ reported plans to slash its workforce by up to 20% to offset the cost of its AI buildout. JPMorgan believes that cost savings from such large-scale cuts will not “make as big of a dent,” while Jefferies contends that it would reinforce the view that “AI is beginning to deliver real productivity gains at scale.”
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Meta’s shares rose over 3% during Monday’s pre-market trading session as both investment banking giants reaffirmed their Buy rating on META.
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