Business Insider·4 min read·medium

The '2 pizza' days are over. Here's what everyone in business and tech is saying about team size.

The '2 pizza' days are over. Here's what everyone in business and tech is saying about team size.
AI Summary

Tech companies are shifting toward smaller, more agile teams as AI tools increase individual productivity. Executives like Instagram's Adam Mosseri are moving away from larger groups to leaner pods to improve decision-making speed.

Instagram CEO Adam Mosseri said his division has cut the size of its teams in half. Allison Robbert/Bloomberg via Getty Images Silicon Valley is awash in talk about tiny teams. Many are citing AI explicitly when they talk about why they need smaller teams. The changes mean Jeff Bezos ' famed "two pizza" may no longer hold true. Silicon Valley's next big idea is actually quite small. Amazon founder Jeff Bezos famously suggested that to maintain productive meetings, everyone present should be able to be fed with two pizzas. In the age of AI, teams across business and tech are shrinking . Some executives have said that's why they slashed jobs. Others just want more streamlined divisions. It remains to be seen if OpenAI CEO Sam Altman's prediction of 10-person companies with billion-dollar valuations will come true. In the meantime, there will likely be a lot fewer pizzas or a lot more leftovers. Here's how corporate leaders are thinking about team size. Adam Mosseri Instagram CEO Adam Mosseri can see a world where token caps make sense. Kyle Grillot/Bloomberg via Getty Images Instagram CEO Adam Mosseri said his division has made "a very big shift" to scaling down the size of its average teams. Before AI, Mosseri said the average team was roughly "a baker's dozen." Now, Instagram has pods, consisting of "four to six engineers who are a bit more generalists," a member of the product staff, and a specialized expert for whatever the team is working on. "What's clearly happening is all of the functions are starting to bleed into each other, and the whole industry's wrestling with what that means," Mosseri said during an episode of "Lenny's Podcast" in July. Mosseri said the leaner approach meant his teams "can often move faster and make better decisions, a little bit less designed by committee." Mark Zuckerberg Meta CEO Mark Zuckerberg said there's a chance that AI could actually increase the number of jobs. David Paul Morris/Bloomberg via Getty Images Meta CEO Mark Zuckerberg said building the future of AI doesn't require large teams either. "In order to make progress in AI, you don't need like many, many hundreds of AI researchers or thousands or anything like that," Zuckerberg said during an episode of the "No Priors" podcast in June. "I think you can really make progress with a very strong group of a dozen or a couple dozen people." Jack Dorsey Jack Dorsey says prototypes have more depth than presentations ever could. Joe Raedle/Getty Images Block CEO Jack Dorsey cited gains from AI as the reason he cut nearly half the staff at the fintech. "We're already seeing that the intelligence tools we're creating and using, paired with smaller and flatter teams, are enabling a new way of working which fundamentally changes what it means to build and run a company," Dorsey wrote on X in February, explaining the decision. Dorsey said he had two options when he considered the future of Block, the parent company of Square, Cash App, Afterpay, TIDAL, Bitkey, and Proto. "I had two options: cut gradually over months or years as this shift plays out, or be honest about where we are and act on it now. I chose the latter," he wrote. Brian Armstrong Coinbase CEO Brian Armstrong. Patrick T. Fallon / Getty Images Coinbase CEO Brian Armstrong said the crypto giant would experiment with team size as it sought to "be leaner, faster, and more efficient for our next phase of growth." Armstrong announced in May that Coinbase was laying off roughly 14% of its workforce. "We'll be concentrating around AI-native talent who can manage fleets of agents to drive outsized impact," he wrote in a post outlining the move. "We'll also be experimenting with reduced pod sizes, including 'one person teams' with engineers, designers, and product managers all in one role." Evan Spiegel Snap's CEO Evan Spiegel said the company is TKTK Bloomberg/Getty Images Snap CEO Evan Spiegel said the social network is already seeing the success of smaller teams. "We have already witnessed small squads leveraging AI tools to drive meaningful progress across several important initiatives, including Snapchat+, enhanced ad platform performance, and efficiency improvements in our Snap Lite infrastructure," Spiegel wrote in an April letter. At the time, Spiegel reiterated that Snap is "facing a crucible moment" requiring a new way of working that is "is faster and more efficient." Snap laid off roughly 16% of its full-time workforce. Spiegel had previously laid out an ambitious plan for streamlined teams, which he compared to startups. "Five to seven teams—squads of 10 to 15 people—will run like startups inside Snap, with single-threaded leaders accountable for outcomes," he wrote in a September 2025 letter. "Weekly demo days, 90-day mission cycles, and a culture of fast failure will keep us moving." Avishai Abrahami Avishai Abrahami, the CEO of Wix. Mark Kauzlarich/Bloomberg via Getty Images Wix CEO Avishai Abrahami said AI has sparked "the most significant shift in how companies are built since the invention of modern programming languages in the 1970s." "It also means we need to become a faster, leaner, and flatter organization," Abrahami wrote on X in May. Wix laid off roughly 20% of its workforce. Abrahami said the decision was due in part to a desire to reorganize the web development company. "We are moving to a structure with fewer levels between any member of our leadership and the most junior person on the team," Abrahami wrote. "Fewer layers means faster decisions, clearer ownership, and less distance between the people setting direction and the people building the product - but it also means a smaller number of people." Jamie Dimon Jamie Dimon said companies are mindful of their token and data center spending. SAUL LOEB / AFP via Getty Images JPMorgan Chase CEO Jamie Dimon said small, nimble teams should be able to operate like elite military special forces units. "The teams needed to tackle these challenges should be small and authorized with the decision-making ability to move and act like Navy SEALs or the Army's Delta Force," Dimon wrote in his annual letter to shareholders, published in April. While Dimon didn't call out AI specifically, he said teams need total buy-in from their members, so the groups can move at the "super speed" JPMorgan needs. David Pan Cursor's website is seen on a laptop Gabby Jones/Bloomberg via Getty Images Cursor field chief technology officer David Pan thinks it's time to revise Bezos' pizza rule. "He was right about small teams," Pan wrote on X in July. "But in the AI era, two pizzas are too much pizza." Pan praised "the all-time great metaphor," but said it was time to replace it. "RIP to the two pizza team," he wrote. Read the original article on Business Insider

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