WPP to sell assets and cut jobs in radical shake-up to counter AI threat

The Guardian World

by Julia Kollewe and Mark Sweney

February 26, 2026

AI-Generated Deep Dive Summary

WPP, a leading UK advertising group, has unveiled a sweeping restructuring plan aimed at countering the growing threat of artificial intelligence (AI) to its business. The company plans to sell assets and implement job cuts as part of its strategy to transform into a "simpler, lower-cost, AI-enabled business." WPP aims to achieve £500 million in annual savings by 2028, with an estimated cost of £400 million over the next two years to execute these changes. This radical shake-up reflects the advertising industry's urgent need to adapt to technological advancements and remain competitive in a rapidly evolving market. The restructuring is driven by concerns that AI tools, such as generative AI and automation platforms, could disrupt traditional advertising services. WPP's move comes amid broader fears within the ad tech sector about the potential displacement of human roles by AI. By streamlining operations and reducing costs, the company hopes to position itself for long-term sustainability in an era where AI-driven efficiency is becoming a key differentiator. WPP's strategy includes reorganizing its vast portfolio of agencies and subsidiaries, many of which have overlapping functions or operate inefficiently. The company has already flagged plans to divest non-core assets and consolidate operations across its global network. While the exact number of job cuts remains unclear, industry experts predict significant workforce reductions, particularly in roles that can be automated or replaced by AI tools. This shift underscores the broader challenges faced by traditional advertising firms as they grapple with the rise of AI. WPP's actions are likely to set a precedent for other media and ad tech companies, which must now consider similar transformations to survive in an increasingly AI-driven world. The company's ability to successfully execute its restructuring will be closely watched by industry observers and investors alike, as it could signal broader trends in the global ad market. For readers interested in global business trends and the impact of technology on traditional industries, WPP's restructuring offers valuable insights into how established players are adapting to the AI revolution. The company's efforts to streamline operations, reduce costs, and embrace AI-driven efficiency highlight the critical importance of innovation and agility in staying relevant in today's fast-paced business environment.

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Originally published on The Guardian World on 2/26/2026