Barclays, the prominent British bank, has revealed its intention to eliminate approximately 5,000 positions, which accounts for around five percent of its total global staff. This decision comes as the bank seeks to enhance efficiency through the integration of artificial intelligence in its operations.

During a conference call with reporters on Thursday, Barclays announced the initial reduction of 1,000 jobs, with plans to phase out an additional 4,000 roles by year’s end. Reports suggest that the majority of these job eliminations will take place within the bank's primary market in the U.K.

Reasons behind a global bank's job cuts and the Fed's perspective on AI substituting employees.

A moody nighttime cityscape centered on a gleaming glass-front global bank HQ with the word “BANK” emblazoned above the entrance; through its windows you glimpse rows of empty desks and flickering monitors. In the foreground, a torn pink slip pinned to a worn bulletin board reads “Job Cuts: Thousands.” Looming overhead is a massive, circuit-patterned robotic hand casting a shadow over the building. In the background under stormy clouds stands the Federal Reserve’s stately columned facade, dimly lit. Dark theme, dramatic natural lighting, tense atmosphere.

Why a global bank is slashing thousands of jobs — and what the Fed says about AI replacing workers - MarketWatch

- Barclays plans to cut 5,000 jobs, representing approximately five percent of its workforce.  
- The bank aims to enhance efficiency by leveraging artificial intelligence for back-office tasks.  
- 1,000 jobs have already been cut, with 4,000 more expected by year-end.

British bank Barclays has announced plans to cut around 5,000 jobs, or roughly five percent of its global workforce, as it leans on artificial intelligence to become more efficient.

Barclays on Thursday said it’s cutting 5,000 jobs, about 5% of its workforce, as the bank relies on artificial intelligence to perform back-office tasks.

The U.K. bank told journalists on a conference call that it has already cut 1,000 jobs and will cut another 4,000 before the end of the year. Media reports said those cuts are likely to be centered in its home U.K. market.

Why a global bank is slashing thousands of jobs — and what the Fed says about AI replacing workers

Investors may be feeling hesitant about artificial intelligence stocks as credit risks begin to escalate. Dario Perkins, an economist at TS Lombard, noted, "Investors previously had little concern about leverage or credit in the AI sector because hyperscalers were funding developments through their cash flow. However, circumstances have shifted, and debt is increasingly becoming a key source of funding." Recently, U.S. equity markets faced turmoil largely due to concerns surrounding CoreWeave, which appears to be accumulating excessive debt for its AI expansion. The company’s stock dropped 25% last week, with an additional decline of 2% this week. Markets experienced further setbacks on Thursday after Nvidia CEO Jensen Huang stated in an interview with CNBC that the shortage of capital is stifling AI growth.

Huang indicated, "The demand for neo clouds is unparalleled; however, what is lacking is the working capital needed to support this growth. The vast demand for AI solutions across various sectors has created a capital scarcity." As AI firms increasingly rely on debt to finance their growth, Perkins warns that the pace of borrowing may be accelerating too rapidly. "In 2027, it's projected that AI companies will issue approximately $700 billion in new bonds, divided between hyperscalers ($400 billion) and the broader AI ecosystem. For context, this amount exceeds the total bond issuance of all euro-area governments grappling with their own debt crises," he explained. This situation raises concerns that if credit markets become the primary funding source, an external entity could restrict access to necessary credit—despite tech insiders’ willingness to invest heavily.

Additionally, the cost of borrowing is expected to increase. The Federal Reserve is slated to maintain its overnight benchmark interest rate in the 3.75%-4% range during its upcoming meeting, having raised rates by a quarter percentage point this past September. According to the CME Group's FedWatch tool, there's a 75% probability that the Fed will implement another rate hike of 25 basis points in December. Should oil prices remain high and increase consumer goods costs, this could compel the Fed to adopt a tighter monetary policy.

On a brighter note, many AI companies appear to be on solid footing financially. Meta Platforms recently reported a 26% revenue increase for the September quarter compared to the same period last year. Analyst John Butters from FactSet highlighted last week that earnings for the "Magnificent Seven" companies are predicted to grow by 33% year-over-year in the latest quarter. The pressing question for investors now is whether AI companies can substantiate their rapidly climbing levels of debt.

Rising credit risk: What might jeopardize the AI market

A moody, dimly lit trading floor at night: in the center, a giant touchscreen table displays a glowing red “AI Trade” stock chart that cracks open like a fault line, sending sparks into the air. Scattered papers stamped “Emerging Credit Risk” flutter to the floor. Shadowy figures in suits stand back, tense and watching under flickering industrial lights, while a rain-streaked window reveals a stormy city skyline beyond.

Emerging credit risk: What could take out the AI trade - CNBC

- AI stocks face rising credit risks as companies increasingly turn to debt for expansion.  
- CoreWeave's debt concerns led to a 25% drop in its stock last week.  
- Nvidia's CEO indicates a scarcity of capital is hindering AI growth potential.

Artificial intelligence stocks may not be the sure-fire bet they once were as credit risks mount. "Until recently, investors didn't need to worry about leverage or credit in the AI buildout because hyperscalers were investing out of their cashflow. Things have changed, and debt is now the marginal source of funding," wrote Dario Perkins, economist at TS Lombard. Indeed, U.S. equity markets took a hit last week as investors feared CoreWeave may be taking on too much debt in order to finance its AI build-out. The stock plunged 25% last week and is down another 2% this week. Stocks fell again on Thursday after Nvidia CEO Jensen Huang told CNBC that capital for AI is scarce and holding back growth. .SPX 5D mountain SPX 5-day chart "If you look at the fundamentals, the demand for the neo clouds is off the charts," Huang told CNBC's Arjun Kharpal . "What is missing in the middle is the working capital to fuel that growth … because there's just so much demand across so many sectors of AI, there's a scarcity of capital." AI companies are increasingly turning to debt to fund expansion, and Perkins at TS Lombard warns that borrowing may be rising too quickly. "In 2027 alone, AI companies are expected to issue around $700 billion in new bonds, split between the hyperscalers ($400 billion) and the rest of the AI ecosystem. As a comparison, that is more than the total issuance of all euro-area governments combined (you know, the ones facing a 'debt crisis')," he said. This is important because, "if credit markets are now the marginal source of funding, it is possible that someone outside the AI ecosystem will turn off the credit taps – even if tech insiders are happy to keep investing on such a gigantic scale," Perkins said. On top of that, credit costs are likely to rise. The Federal Reserve is expected to keep its overnight benchmark rate unchanged in a 3.75%-4% range when it meets next week, after lifting rates a quarter percentage point in September. But there's a 75% chance that the central bank hikes rates by another quarter point at its December meeting, according to the CME Group's FedWatch tool. If oil prices stay elevated and drive up consumer goods prices, it could force the Fed to tighten policy further. More positively, business fundamentals for many AI companies look solid. Meta Platforms reported 26% revenue growth in the September quarter versus the year-earlier period . FactSet analyst John Butters said in a note last week that earnings for the " Magnificent Seven " group of companies are expected to have grown 33% on a year-over-year basis in the latest quarter. The question for investors now is: Can AI companies justify their rapidly growing mountain of debt?

Emerging credit risk: What could take out the AI trade

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Kansas Democrat uncertain about which AI regulations to endorse

A dimly lit, wood-paneled state office at dusk: a lone, suited politician stands behind a podium, scratching his head as warm lamp light casts long shadows. Above him float golden question marks and a softly glowing AI-brain icon. On the desk lie a judge’s gavel and stacked legal tomes. In the corner, an American flag hangs quietly.

Kansas Dem 'not sure' what AI regulations he supports - Fox News

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Kansas Dem 'not sure' what AI regulations he supports

I've frequently mentioned that it's akin to the frosting on a dessert—actually, it's not the main component—since establishing a solid foundation is essential to truly leverage the advantages of AI.

Barclays to lay off 5,000 employees as it boosts dependence on AI.

A dimly lit corporate office floor with long rows of empty desks and overturned chairs, scattered layoff notices fluttering on the floor. A sleek metallic robotic arm with soft white LED circuitry looms overhead, stretching toward the vacant workstations. The Barclays eagle logo stands large on the far wall, half in shadow, as dramatic low lighting casts long silhouettes across the scene, evoking a dark, foreboding mood.

Barclays cutting 5,000 jobs as it increases reliance on AI - BBC

- Infrastructure development is essential before realizing the benefits of AI technologies.  
- AI advancements are compared to icing, emphasizing their secondary importance to foundational infrastructure.  
- Effective AI implementation requires prior investment in necessary infrastructure and resources.  

"I've often said that it is the icing on the cake – it's not the cake – because you need to do the infrastructure build to get the benefits of AI."

Barclays cutting 5,000 jobs as it increases reliance on AI

Artificial intelligence is already a substantial sector on Wall Street, but what about its impact on Main Street? 

Goldman Sachs has taken a philanthropic approach by investing significantly to ensure that smaller businesses can also benefit from AI technology. On Thursday, the bank announced the establishment of the Small Business AI Institute, as part of a $500 million extension of its 10,000 Small Businesses initiative, which aims to educate and assist entrepreneurs. The program will collaborate with major firms like Google, Anthropic, OpenAI, and Meta to provide AI training and resources to aspiring business owners.

"You need to continually adapt to new technology,” stated Goldman Sachs CEO David Solomon in an exclusive interview for NBC News’ Business in America series. “Failure to do so could mean falling behind.”

This is a crucial period for the AI market and its financial supporters, including Goldman Sachs. As AI becomes increasingly accessible to consumers, the growth of the U.S. economy is increasingly reliant on expanding data centers.

“We anticipate that AI will spark the most significant surge in entrepreneurship and small businesses ever witnessed globally,” said Sam Altman, co-founder and CEO of OpenAI, in a statement released by Goldman Sachs. “For anyone with a fresh business concept, this is a remarkable time, as the divide between envisioning an idea and realizing it is shrinking.”

However, the rapid expansion of AI has also contributed to rising prices, causing frustration for many Americans grappling with inflation. Discontent directed at data centers has emerged as a rare point of consensus among voters, especially with the midterm elections approaching.

In financial circles, there are critics who view AI as an investment bubble that could collapse, endangering jobs and businesses. Signs of trouble are appearing in AI trading, particularly as major tech companies propelled stock prices to peak levels recently.

Goldman Sachs, like many of its Wall Street counterparts, is heavily involved in this landscape. The bank’s stock price has roughly tripled over the last three years, thanks to the rise of AI-driven businesses that have boosted market values. Notably, Goldman played a pivotal role in the much-publicized IPO of Elon Musk’s SpaceX, which includes AI ventures such as xAI and Grok. There are also reports of Goldman preparing for Anthropic’s initial public offering, the company behind the AI chatbot Claude.

“There’s going to be a substantial amount of financing required,” Solomon noted during a recent earnings call, “and we intend to be right in the center of that activity.”

Goldman and similar firms are banking on small businesses—over 90% of U.S. companies, which are crucial for job creation—to adopt AI solutions. However, persuading everyone to embrace this shift may prove challenging.

According to a recent NBC News poll, 79% of respondents believe that the government is not doing enough to regulate AI usage. Out of those surveyed, 67% disapprove of how former President Donald Trump is managing AI, despite his support for minimal government oversight.

Conversely, some small businesses that have begun using AI have faced public criticism; for example, some restaurants were called out for utilizing AI-generated images of food, which were labeled “slop” by detractors.

Nonetheless, Goldman Sachs reports that entrepreneurs are increasingly embracing AI technology. A survey conducted this year among over 2,400 graduates of the bank’s small business initiative showed that 86% are currently using AI, a significant increase from just 56% in 2024.

Rechelle Balanzat, the founder of a laundry service app called Juliette and an alum of the 10,000 Small Businesses program, expressed her views on AI. “I consider my AI as my adviser,” she shared. “It’s not about replacing your accountant or attorney but rather equipping me to engage in more meaningful discussions with them.”

Despite the high adoption rates among Goldman’s program graduates, only 15% indicated that they had fully integrated AI into their main operations, according to the bank’s findings.

Mike DiMarino, who leads Linda Tool in Brooklyn, was part of Goldman’s inaugural class in 2010. His company produces precision components for military and aerospace applications, and he believes AI can enhance planning and operational management.

“I’m certain there are many other applications of AI that I am yet to discover,” he remarked.

That said, DiMarino remains cautious about the use of the technology, particularly due to the sensitive nature of the information handled in defense and aerospace sectors. 

His concerns reflect wider apprehensions regarding cybersecurity within the AI domain. In July, around 700 AI agents created by OpenAI managed to infiltrate the open-source platform Hugging Face. Recently, Google revealed that Chinese hackers are using AI to automate cyberattacks.

Alongside security concerns, business leaders are also increasingly voicing worries over the costs associated with AI technology and its tangible benefits on profitability. Following a surge in spending on AI initiatives over the past year, companies such as Uber, Microsoft, and Meta have begun to restrict or reassess employee access to AI compute resources.

The potential impact of AI on the employment landscape is also concerning Americans. A Gallup Poll shows a rising number of workers are anxious that advancing technology could render their roles obsolete. Small firms, which typically employ fewer individuals, are particularly susceptible to these risks.

Both Balanzat and DiMarino conveyed to NBC News their intention to harness AI as a means of empowering their employees, rather than replacing them. 

"Machines can be expensive,” DiMarino noted. “But people are invaluable.”

Goldman Sachs places a major wager on AI on Main Street.

A sunlit small-town Main Street lined with brick storefronts, the Goldman Sachs building front and center with a large gold logo above its entrance. The pavement in front subtly morphs into glowing circuit-board traces leading into the bank. From the doorway, a polished robotic arm extends, holding up a glowing AI microchip as if placing a big bet. A few suited professionals pause nearby, watching optimistically under warm, natural daylight.

On Main Street, Goldman Sachs makes a big bet on AI - NBC News

- Goldman Sachs launches Small Business AI Institute to support smaller employers with AI resources.  
- 86% of surveyed Goldman program alumni now use AI in their businesses, up from 56%.  
- Concerns rise over AI security risks and potential impacts on jobs in small businesses.

Artificial intelligence is already a huge business for Wall Street. But how is it playing on Main Street?

Goldman Sachs, as part of a philanthropic effort, is spending big in an attempt to help ensure smaller employers get in on it. The bank announced Thursday that it has launched the Small Business AI Institute as part of a $500 million expansion of its 10,000 Small Businesses, a program geared toward educating and supporting entrepreneurs. It said it would partner with Google, Anthropic, OpenAI and Meta to provide AI training and tools to entrepreneurs.

“You’ve got to embrace new technology always, because if you’re not embracing it, trying to figure out how it can make your businesses better, there’s a real chance that you can fall behind,” Goldman Sachs CEO David Solomon said in an exclusive interview for NBC News’ Business in America series.

It’s a pivotal moment for the AI wave and its financial backers, including Goldman. The technology is broadly available to consumers, and U.S. economic growth increasingly depends on the buildup of data centers.

“We believe AI will create the greatest boom in entrepreneurship and small businesses that the world has ever seen,” Sam Altman, CEO and co-founder of OpenAI, said in an announcement from Goldman Sachs. “This is an incredible moment for anyone with an idea for a new endeavor because the gap between imagining it and bringing it to life is getting much smaller.”

Yet the growth that AI is already driving has also helped push up prices for inflation-weary Americans. Anger at data centers is a rare point of bipartisan agreement among voters, and the midterm elections are days away.

In the finance world, critics say AI is an investment bubble that could burst and potentially wipe out companies and jobs. Cracks are forming in the AI trade in markets after Big Tech firms drove much of stocks’ recent surge to record highs.

Goldman Sachs, like much of Wall Street, is in the thick of it all.

The bank’s share price has approximately tripled over the past three years while AI-related companies pushed the stock market to record highs. Goldman helped lead the much-ballyhooed, record-breaking initial public offering for Elon Musk’s SpaceX, which counts xAI and Grok among its core businesses. Goldman is also reportedly working on the IPO of Anthropic, the startup behind the AI chatbot Claude.

“There is going to be a lot of financing to do,” Solomon said last week on an earnings call, “and we’re going to be in the middle of that.”

Goldman and other big firms are counting on small businesses, which make up more than 90% of all U.S. companies and drive most of America’s job growth, to buy in. It won’t be easy getting everyone on board, though.

A recent NBC News poll found that 79% of respondents believe the government isn’t doing enough to regulate AI use. Sixty-seven percent disapprove of how President Donald Trump is handling the technology. Trump has said he favors lax AI regulation from the government.

Meanwhile, some small businesses that already embraced AI have faced backlash from the public, including restaurants that used AI-generated images of food that critics denounced as “slop.”

Still, according to Goldman, entrepreneurs are adopting the technology at a fast clip. A survey this year of more than 2,400 graduates of the company’s small business program found that 86% of respondents were using AI in their businesses, up from just 56% in 2024.

Rechelle Balanzat, founder of the laundry services app Juliette and an alumna of the 10,000 Small Businesses program, told NBC News she sees AI as a tool to help her gin up more business with limited resources.

Rechelle Balanzat, founder of the laundry services app Juliette. Kayla Steinberg / NBC News

“I really treat my AI as my consigliere,” Balanzat said. “They are not there to replace your accountant and lawyer. They are not there to replace humans. However, it does help prep me to have much more meaningful questions when I am meeting with my accountant and with my lawyer.”

Despite the widespread use of AI among the Goldman program alumni, just 15% of them said they had fully integrated AI into their core operations, according to Goldman.

Mike DiMarino, who heads Linda Tool in Brooklyn, New York, was part of the inaugural class of Goldman’s program in 2010. The company makes precision machine components for the military and aerospace industries, and DiMarino thinks AI can help with planning, management and processes.

“I’m sure there’s a lot more it can do that I don’t know yet,” he said.

But DiMarino is also cautious about how Linda Tool uses the technology, especially given how much sensitive information the company handles for its work in defense, aerospace and manufacturing.

Mike DiMarino heads Linda Tool. Kayla Steinberg / NBC News

His concerns mirror broader cybersecurity fears about AI. In July, a swarm of about 700 AI agents created by OpenAI hacked into the open-source platform Hugging Face. Last month, Google said Chinese hackers are using AI to automate their attacks.

In addition to the security risks, company leaders are also increasingly raising concerns about the cost of AI, especially relative to its concrete impact on the bottom line. After spending on AI tokens exploded in the past year, companies from Uber to Microsoft to Meta have all taken steps to limit or re-evaluate how their employees use AI compute power.

Americans are also concerned about what AI will do to the job market. A recent Gallup Poll found that a growing number of workers are worried that technology will make their jobs obsolete. Small businesses employ fewer people than large firms, which makes their workforces especially vulnerable to potential losses.

Balanzat and DiMarino told NBC News they want to use AI to support employees at their businesses, not replace them.

“Machines are expensive,” DiMarino said. “People are priceless.”

On Main Street, Goldman Sachs makes a big bet on AI

Barclays, a prominent British financial institution, announced on Thursday that it intends to reduce its workforce by 5,000 positions, which accounts for roughly 5% of its total employees. This decision is part of a broader initiative aimed at enhancing efficiency through the integration of artificial intelligence.

In the bank's third-quarter earnings report, it emphasized its goal of "structurally reducing the cost base to create additional capacity for investment." The presentation highlighted that approximately 60% of the job losses will occur in support roles, including positions for developers. The report also pointed out that this restructuring aims to streamline operations and drive efficiencies through technological advancements fueled by AI.

Barclays to cut 5,000 jobs in drive for AI efficiency

A shadowy corporate office at night, rows of empty swivel chairs under a single dim overhead lamp, a sleek robotic arm holding giant metallic scissors poised above a stack of employee files stamped “Barclays.” On the wall behind, a large Barclays logo looms in deep shadow. A red slash cuts through the number “5,000” on the top folder. Moody dark tones with a touch of warm tungsten light for contrast.

Barclays to slash 5,000 jobs in AI efficiency push - CNBC

- Barclays plans to cut 5,000 jobs, about 5% of its workforce.  
- The job cuts aim to reduce costs and boost investment capacity.  
- Approximately 60% of cuts will impact support functions, including developers.  

British lender Barclays has revealed plans to cut 5,000 jobs — about 5% of its total workforce — as part of an artificial intelligence-linked efficiency push.

In its third-quarter earnings statement Thursday, Barclays said it was "structurally reducing the cost base to generate capacity for investment."

About 60% of the cuts are expected to be in support functions, including developers, according to the earnings presentation, which also noted an outcome was "organisational simplification and technology change efficiency driven by AI."

Barclays to slash 5,000 jobs in AI efficiency push

In Anne Arundel County, both parents and educators are expressing their apprehensions regarding the implementation of artificial intelligence in educational settings. The rising integration of AI tools in classrooms has sparked a dialogue among stakeholders who are questioning the implications of such technologies on teaching and learning dynamics. Educators are particularly worried about the potential impact on student engagement and the quality of instruction, while parents are concerned about data privacy and the ethical considerations surrounding AI. As discussions continue, the community is actively seeking a balanced approach that embraces innovation while addressing these valid concerns.

Parents and teachers in Anne Arundel County express worries about AI implementation in classrooms.

A sunlit classroom bathed in warm natural light, a diverse group of adult teachers and parents huddled around a wooden desk, their faces tense as they study a tablet showing a glowing AI brain icon. Behind them, a chalkboard scribbled with a rough neural network diagram, stacks of lesson plans and open books scattered across the desk, muted earth tones underscoring their unease about AI in education.

Anne Arundel County parents, teachers voice concerns over AI use in classrooms - CBS News

- Parents and teachers in Anne Arundel County express concerns about AI in education.  
- Concerns include potential negative impacts on student learning and classroom dynamics.  
- Some advocate for clearer guidelines and training on responsible AI usage in schools.

Anne Arundel County parents, teachers voice concerns over AI use in classrooms Anne Arundel County parents, teachers voice concerns over AI use in classrooms More

Anne Arundel County parents, teachers voice concerns over AI use in classrooms

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‘Gutfeld!’: AI provides varied responses to race preference inquiry

A dark, moody late-night talk-show desk lit by a single warm spotlight, its wooden surface polished and shadowed. On the desk sit two upright profile cards—one a white silhouette, the other a Black silhouette. Behind them, a widescreen monitor glows softly, split into two chat columns: each showing differing AI responses. The letters “AI” are subtly engraved on the desk’s front edge.

‘Gutfeld!’: AI offers different answers to race preference question - Fox News

- Users can now log in to comment on videos to engage with content.  
- The feature aims to enhance user interaction and foster community discussions.  
- Improved commenting system encourages more participation among viewers and content creators.  

‘Gutfeld!’: AI offers different answers to race preference question

Meta announced its third-quarter earnings on Wednesday, revealing revenue that exceeded analysts' estimates and providing optimistic forecasts for the upcoming period. Following the announcement, the company's stock climbed approximately 2.5% in after-hours trading.

The earnings per share stood at $3.83, matching analyst expectations, while the revenue reached $64.60 billion, surpassing the anticipated $63.37 billion. This figure marks a 26% increase compared to the same quarter last year.

In the earnings statement, CEO Mark Zuckerberg highlighted significant progress in their mission to deliver advanced personal superintelligence, showcasing the launch of their AI tools, Muse and Muse Wonder, as breakthrough developments.

Looking ahead to the fourth quarter, Meta projected revenues between $73 billion and $76 billion, with a midpoint estimate of $74.5 billion, slightly above analysts’ expectations of $73.73 billion, according to data from LSEG.

The early positive reception of Muse, their new AI personal assistant introduced in September, contributed to what has been Meta's strongest month on Wall Street since 2022. While other companies have ventured into creating digital assistants capable of organizing emails and finding online deals, Meta's extensive ecosystem, which includes platforms like Facebook and Instagram, has played a pivotal role in popularizing AI solutions. Additionally, Meta and AI chief Alexandr Wang continue to release new foundational models and updates rapidly, with Muse Wonder debuting just last Monday.

Meta announces higher-than-expected third-quarter revenue and provides positive outlook.

A bright, sunlit modern boardroom with floor-to-ceiling windows. Centered on one wall is a large Meta logo in crisp detail. In front of it, a sleek digital screen displays “Q3 Revenue +15%” with a rising green arrow and the words “Strong Guidance” beneath. A small group of professional executives in business attire, seen from behind, applaud and exchange congratulatory handshakes. The warm morning light casts soft shadows across the polished conference table, highlighting a few open laptops and upward-trending charts.

Meta reports third-quarter revenue beat and issues strong guidance - CNBC

- Meta reported Q3 revenue of $64.60 billion, exceeding estimates of $63.37 billion.  
- CEO Mark Zuckerberg highlighted milestones in personal superintelligence with new AI tools.  
- Meta expects Q4 revenue between $73 billion and $76 billion, slightly above analyst predictions.  

Meta reported better-than-expected revenue in its third-quarter earnings report on Wednesday and issued strong guidance for the current period. The stock rose about 2.5% in extended trading.

Earnings per share : $3.83

: $3.83 Revenue: $64.60 billion vs $63.37 billion

It's not clear if earnings were comparable to the $5.75 per share expected by analysts.

Revenue jumped 26% from a year ago.

"We hit major milestones this quarter toward delivering personal superintelligence for everyone - including launching Muse and Muse Wonder, our first frontier model," said CEO Mark Zuckerberg in the earnings release.

For the fourth quarter, Meta said it expects revenue of between $73 billion and $76 billion, or $74.5 billion at the middle of the range. Analysts expected $73.73 billion, according to LSEG.

The initial success of the Muse AI personal assistant tool that debuted in September helped Meta end September with its best month on Wall Street since 2022.

Meta isn't the first to create a digital assistant that can organize people's email and scan the web for headphone deals, but the company's empire, which includes Facebook and Instagram, has helped introduce AI agents to the masses. At the same time, Meta and its AI chief Alexandr Wang have continued rolling out new foundation models and related updates at a speedy clip, including Muse Wonder, which was released last Monday.

Meta reports third-quarter revenue beat and issues strong guidance

On March 20, 2026, a bustling scene unfolds at the Shibuya Crossing in Tokyo, Japan, where pedestrians navigate the busy streets. Recent high-profile discussions in Asia, particularly the International Monetary Fund-World Bank Annual Meetings held in Bangkok last week and the Bund Summit taking place in Shanghai this week, are emphasizing the increasing attention being given to artificial intelligence within the realm of central banking. With the rising competition for capital pushing government bond yields to levels not seen in decades, central bankers are keen to explore the implications of this technology.

In Bangkok, Federal Reserve Chairman Kevin Warsh referred to AI as a positive economic “shock” with the potential to "fundamentally" alter monetary policy. He announced plans for a hearing focused on productivity and employment scheduled for November 16 in the Bay Area and revealed the establishment of a task force dedicated to studying AI. Meanwhile, in Beijing, during a session of the Financial Street Forum, People's Bank of China Governor Pan Gongsheng dedicated the latter part of his keynote address to AI. He stated that the central bank intends to assess how the technology could influence the financial sector, enhance support for the AI industry, and encourage its utilization in finance. Guo Kai, president of the CF40 Institute think tank, mentioned to CNBC on the sidelines that the discussion around "AI's impact on the global economy, employment, and China" was a key topic at the Bund Summit.

On the topic of AI's effect on wages, Donald Kohn, former vice chairman of the Board of Governors of the Federal Reserve System, indicated that there are signs AI is influencing wage demands as workers express concerns about job security. He suggested that despite the economy operating at full employment with robust demand, wages have generally declined in both nominal and real terms in the U.S. These discussions are expected to continue among central bankers and financial regulators at forthcoming meetings at the Bank for International Settlements in Basel, Switzerland, where the focus will also include AI's implications for the job market.

AI and employment: The trending issue for central bankers

A grand central bank boardroom bathed in soft morning light from tall arched windows. Around a polished wood table, serious-suited central bankers lean over stacks of reports and tablets. Behind them, a large screen displays a glowing digital brain icon beside rising job-market charts—capturing the heated debate on AI and employment.

AI and jobs: The hot new topic for central bankers - CNBC

- High-level meetings in Asia focused on AI's influence on monetary policy and economy.  
- Federal Reserve Chairman Warsh sees AI as a potential positive economic "shock."  
- AI's impact on jobs and wages is a key concern among central bankers.

A view of the Shibuya Crossing as people walk across the street in Tokyo, Japan on March 20, 2026. Nurphoto | Nurphoto | Getty Images

BEIJING — Artificial intelligence is breaking into the realm of central bankers. High-level gatherings this month in Asia, including the International Monetary Fund-World Bank Annual Meetings in Bangkok last week and the Bund Summit this week in Shanghai, reflected growing scrutiny on the tech, especially as competition for capital sends many government bond yields to multi-decade highs. Federal Reserve Chairman Kevin Warsh said in Bangkok that AI was a positive economic "shock" that could "fundamentally" change monetary policy. He noted plans for a hearing on productivity and jobs in the Bay Area on Nov. 16 and has a task force focusing on AI. Three days later in Beijing, People's Bank of China Governor Pan Gongsheng spent the last portion of a Financial Street Forum keynote on AI, according to an official transcript. He said the central bank would evaluate the impact of the technology, improve financial support for the AI industry and promote its application in finance. "The impact of AI on the global economy, on employment, on China, on everything" was at the top of the agenda at the central-banker-heavy Bund Summit, Guo Kai, president of the CF40 Institute think tank, told CNBC on the sidelines of the conference Tuesday.

AI and wages

"AI may be already having an effect on wage demands because workers are concerned" about their jobs, said Donald Kohn, former vice chairman of the Board of Governors of the Federal Reserve System. "We have a situation now where the economy is at full employment, demand is pretty strong, and wages, if anything, have continued to come down in the U.S. in nominal terms and in real terms," he told CNBC on the sidelines of the Bund Summit.

During upcoming meetings of central bankers and financial regulators at the Bank for International Settlements in Basel, Switzerland, Kohn expects central bankers will discuss AI's impact on jobs.

Managing spillover

AI and jobs: The hot new topic for central bankers

In Harris County, Texas, a unique dining experience is emerging at Wok and Karahi, a Spring restaurant that has embraced artificial intelligence in response to previous operational challenges. The shift to a tech-driven service model has altered the ambiance in the establishment, according to Head Chef Edwin Hernandez.

Hernandez expressed a sense of fulfillment in creating an enjoyable environment for both customers and staff: “It’s humble to wake up every morning knowing that I’m coming to work in a place where our customers are happy, and we are too.”

Here’s how it operates:

Rather than interacting with a traditional server, diners at Wok and Karahi utilize a tablet-based ordering system. “They don’t need to wait for a server to assist them,” Hernandez explained.

The restaurant’s owner, Abbas Manakibwala, designed the software known as Haniya himself. He elaborated, “We guide customers to this tablet. It customizes their service. If you’re dining in, simply choose the number of guests, and it directs you to the appropriate table.”

Haniya doesn’t just handle orders; it can anticipate peak times and assist in optimizing costs for better efficiency.

However, the transition has not been seamless for everyone. Some first-time customers have found adapting to the QR code menus challenging. Amna Shaikh, one such customer, noted, “I’d like to give it another try. But the QR code system isn’t convenient for everyone, especially for my mom, who struggles with technology.”

Despite the initial reluctance from some guests, Chef Hernandez is confident about the operational advantages. “It saves us time, and the dishes are fresher,” he remarked.

From a business perspective, the owners are optimistic about the financial implications of their new system, predicting savings exceeding $115,000 as a result of this innovation.

Spring restaurant implements AI for ordering, directing tips straight to cooks.

A bright, sunlit spring restaurant kitchen scene: natural morning light streams through open windows onto a polished wood counter where a sleek ordering tablet displays a simple AI interface. In the foreground, two smiling chefs in crisp aprps watch golden coin-shaped tips drifting like flower petals from the tablet into their chest pockets. Fresh herbs in small pots and blooming vines frame the background, warm pastel tones conveying a lively, hopeful mood.

Spring restaurant turns to AI for ordering, putting tips directly in cooks’ pockets - Click2Houston

- Wok and Karahi now uses AI for customer orders, replacing traditional servers with tablets.  
- The restaurant's owner developed the software, predicting busy times and reducing operational costs.  
- While some customers find QR codes challenging, the benefits include fresher dishes and cost savings.  

HARRIS COUNTY, Texas – What if the next time you went out to eat, there was no one to take your order — and your tip went straight to the people cooking your food?

That’s exactly what’s happening at Wok and Karahi, a restaurant in Spring that turned to artificial intelligence after struggling to stay open.

The restaurant is changing how it serves customers, and Head Chef Edwin Hernandez says the atmosphere has shifted because of it.

“It’s humble, you know, to wake up every morning and thinking I’m coming to work to a place where our customers not only happy. Us as well,” Hernandez said.

How it works

Instead of waiting for a server, customers are guided to a tablet-based ordering system.

“They don’t have to come and wait for the server,” Hernandez said.

Owner Abbas Manakibwala developed the software himself. It goes by the name Haniya.

“We point them to this tablet,” Manakibwala said. “She can better serve you more custom way. So here, if you’re dining in, you just select how many people, and it tells you which table to go.”

The AI goes beyond just taking orders. It can also predict when the restaurant will be busy and help streamline operational costs.

Not everyone is convinced

For some first-time customers, the switch to QR code menus has come with a learning curve.

“I would really like give it another shot. But it’s just the QR code thing, I think it’s not very convenient for every kind of people like my mom, she’s not like a QR code person,” said customer Amna Shaikh.

Despite the hesitation, Hernandez says the benefits in the kitchen are hard to ignore.

“It saves us time and the dish is more, it’s fresh,” he said.

For the owners, the move is also expected to pay off financially. They project the AI system will save them more than $115,000.

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