Project OT was a Meta plan to use AI agents to replace some workers, potentially reducing headcount by about 25% or more. It also included selling AI agents to third parties.

Did Meta actually lay off employees under Project OT?

No, Meta canceled Project OT before determining how many layoffs it would have called for. However, Meta did issue layoffs in May, after which Zuckerberg canceled the November wave.

How would AI be used in performance reviews under the plan?

Reuters reported that HR employees and "AI systems" would help Meta's leaders decide about promotions, but Meta told Reuters that performance and promotion decisions were made by people, not AI.

Large Language ModelsAI Business & IndustryArs Technica AIAug 27, 2026Aug 27, 2026, 10:02 JST

Meta's AI agent plan would have cut 25% of staff

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3 Key Points

What happened
Meta's Project OT, an internal plan to use AI agents to replace workers, would have reduced headcount by about 25% or more, according to an HR executive. The plan was canceled by Mark Zuckerberg before determining how many layoffs it would involve.
Why it matters
The plan was part of Meta's shift to become an "AI native" company, where AI agents interact with automated workflows and new builds are AI-first. It also included selling AI agents to third parties, which Meta started doing in June.
What to watch
Meta launched a pilot program this year that restructured engineering, research, and at least eight other teams into smaller groups, following an internal "AI-Native Playbook" post in October that outlined removing middle management and using "agent-assisted analysis" to prioritize tasks.

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Context & Analysis

Project OT was more than a cost-cutting exercise. It was a blueprint for making Meta "AI native" — a company where AI agents interact, workflows are automated, and new builds are AI-first. The plan also involved selling AI agents to third parties, a move Meta began in June. This suggests that Meta's leadership saw AI as both an internal efficiency tool and a commercial product, with the potential to reshape the company's operations and revenue streams.

The pilot program that restructured engineering, research, and at least eight other teams into smaller groups, along with the "AI-Native Playbook" post, shows that some of the ideas behind Project OT were already being tested. However, the reported cancellation of the November layoffs after the May wave, with no clear reason given, indicates that full adoption of AI-driven workforce reduction was not straightforward. It is possible that Zuckerberg had concerns about the plan's execution or its impact on morale, but Reuters could not determine what prompted the shift.

FAQ

What was Project OT?: Project OT was a Meta plan to use AI agents to replace some workers, potentially reducing headcount by about 25% or more. It also included selling AI agents to third parties.
Did Meta actually lay off employees under Project OT?: No, Meta canceled Project OT before determining how many layoffs it would have called for. However, Meta did issue layoffs in May, after which Zuckerberg canceled the November wave.
How would AI be used in performance reviews under the plan?: Reuters reported that HR employees and "AI systems" would help Meta's leaders decide about promotions, but Meta told Reuters that performance and promotion decisions were made by people, not AI.

Ars Technica AIRead Original Article

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