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TikTok Reduces Workforce Amid Transition to AI-Powered Content Moderation

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TikTok, the popular social media platform owned by ByteDance, has begun a major reduction in its workforce, signaling a shift towards AI-driven content moderation. The layoffs, which number in the hundreds globally, come as the company seeks to leverage artificial intelligence to improve its content review processes, a move seen as more cost-effective and efficient than relying solely on human moderators. A significant portion of these layoffs reportedly impact employees in Malaysia, where TikTok has a large content moderation team.

Initial reports suggested that over 700 staff members in Malaysia were affected by the layoffs. However, ByteDance later clarified that the number was less than 500, attempting to downplay the extent of the workforce reduction. This decision highlights a growing trend among social media companies, which are increasingly turning to AI to handle the complex and large-scale task of moderating user-generated content.

Employees impacted by the layoffs, primarily content moderators, were reportedly notified of their job termination via email. Most of these individuals were responsible for monitoring TikTok’s content for policy compliance, such as identifying and removing harmful or inappropriate videos. Sources close to the matter indicated that the email notifications were sent late on Wednesday, leaving many staff members uncertain about their next steps.

This transition to AI moderation reflects TikTok’s commitment to more efficient and potentially less biased content review. However, it also raises questions about the accuracy of AI in distinguishing between acceptable and inappropriate content, particularly in sensitive or nuanced cases. As TikTok continues to expand globally, the company’s reliance on AI could redefine content moderation standards across the industry.

ByteDance Fires Intern for Sabotaging AI Training Project

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ByteDance, the parent company of TikTok, has terminated an intern for “maliciously interfering” with the training of one of its artificial intelligence (AI) models. The incident has garnered significant attention on social media over the weekend, prompting ByteDance to clarify the details surrounding the event.

The intern, who worked in the advertising technology team, reportedly lacked experience in the AI Lab. In a statement, ByteDance emphasized that the intern’s actions did not significantly disrupt its commercial online operations, including the company’s large language AI models.

ByteDance refuted claims that the incident led to over $10 million (£7.7 million) in damages by disrupting an AI training system reliant on thousands of powerful graphics processing units (GPUs). The company characterized such reports as containing “exaggerations and inaccuracies.”

In addition to firing the intern in August, ByteDance has notified the individual’s university and relevant industry bodies about the situation. The Chinese technology giant is known for its popular social media applications, including TikTok and its Chinese counterpart Douyin, and is recognized as a leader in algorithm development.

With a significant investment in AI, ByteDance utilizes the technology for various applications, including its Doubao chatbot, which has emerged as the most popular AI chatbot in China, as well as a text-to-video tool named Jimeng.

Chili’s Sales Surge with TikTok and Fast-Food Rivalry, as Brinker International’s Turnaround Gains Momentum

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Chili’s Grill & Bar, owned by Brinker International, has reported a nearly 15% increase in same-store sales in its latest quarter, driven by a viral TikTok appetizer and a strategic ad campaign targeting fast-food rivals. CEO Kevin Hochman attributes the chain’s strong performance to a two-year turnaround effort that is now resonating with customers. Despite a 53% rise in Brinker’s stock value this year, shares dropped 10.7% after a cautious fiscal 2025 outlook. However, analysts believe the market overreacted, leading to a partial recovery.

Chili’s success is largely credited to its $10.99 Big Smasher meal, which capitalized on customer dissatisfaction with fast-food pricing, and the Triple Dipper appetizer, which went viral on TikTok. These menu items have drawn a significant number of new and returning customers, creating operational challenges as the chain adapts to the increased demand.

Under Hochman’s leadership, Chili’s has streamlined its menu, reduced the use of coupons, and phased out less profitable ventures like the Maggiano’s Italian Classics virtual brand. The company has also focused on value offerings ahead of competitors, securing a lead in consumer awareness.

Looking forward, Brinker is playing it safe with its fiscal 2025 projections, anticipating earnings per share of $4.35 to $4.75 and revenue growth of 3% to 4.6%. With economic uncertainty and rising food costs, maintaining the momentum and retaining new customers could be challenging as other restaurants roll out competitive value deals. However, Hochman remains optimistic about Chili’s trajectory, citing the brand’s established market presence and value-driven strategy.