Meta launched Project OT in January 2026, aiming to replace up to 60% of its workforce with AI agents. In reality, the company only reduced its workforce by about 10% in May 2026, with the November wave cancelled due to strong employee resistance. Around 6,500 employees were transferred to a new Applied AI unit. While code changes surged 220% year-on-year, user-facing feature updates rose by only 36%, revealing significant technical limitations. Employee morale dropped from 74% to 55% during the Project OT rollout, and Mark Zuckerberg publicly acknowledged in July 2026 that the pace of AI advancements was slower than anticipated.
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