What just happened? Just weeks after announcing the formation of a "superintelligence" research team, Meta is reportedly downsizing the division. It comes after the company has spent billions on new AI hires and the area in general, which has led to comparisons with its ultimately fruitless spending on the Metaverse.

Meta has invested billions in AI, including $14.8 billion in June for a 48% stake in San Francisco-based data labeling firm Scale AI. As part of the deal, CEO Alexandr Wang moved to Meta to lead a newly formed research lab focused on superintelligence – an advanced form of AI designed to exceed human cognitive abilities.
But just two months after Meta announced the formation of Meta Superintelligence Labs, it is splitting the division into four smaller groups, according to a report by The New York Times.

Alexandr Wang, center
One of the newly formed groups will be focused on AI research. Another will be dedicated to infrastructure and hardware projects, one on AI products, and the final group will continue to work toward the creation of AI superintelligence.
The NYT also writes that Meta wants to downsize its AI division overall, a process that could involve eliminating roles or moving employees to other parts of the company. The publication adds that this is due to the segment growing to thousands of people in recent years, though discussions remain fluid and no final decisions have been made.
The report also claims that Meta is considering licensing AI models from third parties.
Meta apparently hopes that the downsizing and restructuring will help accelerate its pursuit of superintelligence, while also streamlining operations to give the company a competitive edge when it comes to AI products. While downsizing of any kind is usually associated with cost-cutting, the NYT says Zuckerberg is sparing no expense and is willing to upend his company to stay relevant in AI. It seems the move is more about reducing bloat and improving focus than saving money.
Zuckerberg has big ambitions for superintelligence. He recently published a post saying its arrival is close and will empower individuals.
Billions are being spent on AI by the tech industry, a lot of which goes toward salaries. It was reported in June that Meta was offering OpenAI up to $100 million to lure its AI talent, though high salaries alone aren't always enough to attract the best in the business.
Meta is expected to spend $72 billion this year, with a huge chunk going on AI. The Metaverse has lost Meta around $45 billion since 2022, but as mainstream adoption of VR and AR falters, AI and the quest for superintelligence is pretty much all the tech industry cares about these days.
Meta restructures AI division, splits superintelligence team two months after formation