Meta to Cut 600 Jobs in Superintelligence Labs as AI Unit Restructures

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Meta announced plans to cut approximately 600 positions within its Superintelligence Labs division, part of a restructuring aimed at making the company’s artificial intelligence operations more agile and efficient. The layoffs will impact teams across Facebook Artificial Intelligence Research (FAIR), product-related AI, and AI infrastructure, according to the company.

Meta said affected employees are encouraged to apply for other internal roles. However, the newly created TBD Lab — a smaller group of researchers and engineers developing next-generation foundation models — will remain untouched. Chief AI Officer Alexandr Wang emphasized that the reduction in staff would streamline decision-making and increase each member’s scope and influence.

The reorganization follows a period of leadership turnover and mixed reception to Meta’s Llama 4 open-source model. The company recently consolidated all AI initiatives under the Superintelligence Labs umbrella to accelerate progress in foundational and applied AI research.

Separately, Meta secured a $27 billion financing agreement with Blue Owl Capital to fund its largest data center project to date. Analysts say the deal could help Meta advance its massive AI infrastructure plans while mitigating financial risks.

Reddit Sues Perplexity for Allegedly Scraping Data to Train AI Search Engine

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Reddit has filed a lawsuit in a New York federal court against artificial intelligence startup Perplexity, accusing it of unlawfully scraping Reddit data to train its AI-based “answer engine.” The complaint also names three other companies — Lithuania-based Oxylabs, Russia-based AWMProxy, and Texas-based SerpApi — alleging that they bypassed Reddit’s data protection systems to extract massive amounts of content.

According to Reddit, Perplexity “desperately needs” the stolen data to strengthen its search capabilities. The platform, home to thousands of user-driven “subreddit” communities, said its content is one of the most frequently cited sources for AI-generated responses. Reddit has legally licensed its data to OpenAI, Google, and other companies, but claims Perplexity acted without authorization.

The lawsuit follows similar cases across the tech industry involving unauthorized use of copyrighted materials to train AI models. Reddit had previously sued Anthropic in June for similar conduct. Perplexity rejected the accusations, calling its methods “principled and responsible.” Meanwhile, Reddit’s chief legal officer Ben Lee accused AI firms of engaging in “industrial-scale data laundering.”

Reddit is seeking financial damages and a court order preventing Perplexity from continuing to use its content.

Lam Research Forecasts Higher Revenue Amid Strong AI Chipmaking Demand

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Lam Research has projected second-quarter revenue above Wall Street expectations, driven by surging demand for semiconductor manufacturing tools used in artificial intelligence applications. The Fremont, California-based firm said it expects revenue of around $5.20 billion, plus or minus $300 million, for the quarter ending December 28 — ahead of analysts’ forecasts of $4.81 billion, according to LSEG data.

The company’s shares rose 2.2% in after-hours trading and have already doubled this year, fueled by global investment in AI-driven chip production. Lam, a leading supplier of wafer fabrication equipment (WFE), provides critical tools used in the complex processes of chip wiring and wafer etching.

Lam faces competition from industry heavyweights such as Applied Materials, Analog Devices, and ASML, but remains well-positioned as chip designers expand capacity to meet escalating computing demands. The firm reported $5.32 billion in revenue for the previous quarter, surpassing expectations, and adjusted earnings of $1.26 per share versus $1.22 projected. The AI semiconductor boom continues to lift equipment makers across the global chip supply chain.