👥 AI firms are choosing quality over quantity as competition picks up for the next breakthrough. Reverting to the startup way, big tech is coming to the realization that smaller teams could be more effective. With an already limited pool of qualified AI researchers to pull from, the trend seems to add fuel to the fire in the ongoing AI talent war and escalating poaching efforts.

Less is more. Meta is at the forefront, applying this method to their new superintelligence unit led by recently poached Scale AI founder Alexandr Wang, according to Business Insider. This new setup stands in stark contrast to Meta’s workforce of over 70k employees. Other AI startups are also hopping on the downsized wagon, with AI marketing startup Hightouch saving USD 132 mn by decreasing headcount.

Fewer team members means more self-starters and self-accountability. Though the small group model is still in its trial stage, it certainly makes for a convenient alternative to micromanaging and tedious bureaucratic processes. Former Github CEO Nat Friedman points out that tech companies tend to be overstaffed, claiming that smaller groups breed “faster decisions, fewer meetings, and more fun,” and Meta’s Zuckerberg would agree.

Tried and true for breakthroughs. Looking back, most AI — and tech — breakthroughs were the result of a small group of the top of the top workers in the field. After all, the groundwork for most large language models was laid by a small group of only eight researchers in the 2017 paper Attention Is All You Need. Prior experience shows that the highest impact is caused by highly concentrated and specialized endeavors from small groups.

However, small teams pose their own challenges. Small teams under big companies inevitably do not operate like they would at startups. These teams are still under contract to follow certain practices and attune to their company’s other departments. The possibility of redundancy or overlap also heightens with smaller groups. Additionally, transformation in established companies may not be as likely to stem from a small group.

Scarcity and competition. The limited number of AI talent is driving companies to offer hefty paychecks to bring around employees. With small teams of elite talent being the focus now, the hunt for AI talent will only escalate.