Amazon (NASDAQ: AMZN) announced it will lay off around 14,000 corporate employees, marking one of the largest job cuts in its history. The move is part of a multiyear cost-cutting effort aimed at making the company leaner while increasing investments in generative AI and cloud infrastructure.
Beth Galetti, Amazon’s senior vice president of people experience and technology, called AI “the most transformative technology since the Internet,” emphasizing that a leaner organization will enable faster innovation. The layoffs represent roughly 4% of Amazon’s 350,000 corporate and tech workforce, affecting units from AWS and gaming to advertising and devices.
CEO Andy Jassy said the company will continue hiring in strategic AI-focused areas despite further cuts ahead. Amazon plans to invest $118 billion this year in AI development and infrastructure as it reshapes its business around automation and machine learning.
