Meta began laying off hundreds of employees Wednesday, affecting its Reality Labs virtual reality division and at least four other divisions, a source familiar with the matter told NBC News.

The job cuts are part of a larger company reorganization. A Meta spokesperson said in a statement that “teams across Meta regularly restructure or implement changes to ensure they’re in the best position to achieve their goals,” adding that the company would be working to find “other opportunities for employees whose positions may be impacted.”

The layoffs will also affect employees across Meta’s recruiting, sales, global operations and Facebook social teams. The layoffs across these divisions are unrelated to one another, according to the source.

While most of the impacted workers were notified Wednesday, others might be informed in the coming weeks, depending on circumstances such as location.

Some employees are being offered new roles, while others may have the option to relocate.

Earlier this year, CEO Mark Zuckerberg signaled more investment and a shift toward greater reliance on AI.

In a January Facebook post following the release of the tech giant’s fourth-quarter and full-year 2025 results, Zuckerberg said AI is going to make a significant impact on the business in 2026. “We’re starting to see projects that used to require big teams now be accomplished by a single very talented person,” he said.

The Facebook parent company noted in its quarterly earnings report that for 2026 it expected Reality Labs operating losses similar to 2025 levels. Meta recorded an operating loss of $6.02 billion on $955 million in sales in 2025.

It also projected that employee compensation would be the second-largest contributor to total expense growth, including “2026 hires to support our priority areas, particularly AI.”

Meta employed nearly 79,000 workers as of December, a 6% increase year-over year.

The company, formerly known as Facebook, changed its name to Meta in 2021 to reflect its prioritization of its virtual reality venture, the metaverse. But as Meta invests further in AI, it has continued to cut jobs in its VR division since at least the start of the year.