Amazon Web Services Cuts Hundreds of Jobs Amid AI Push and Restructuring

AWS cuts jobs across teams as priorities change

Insiders tell The Register that a company-wide automation push means jobs are disappearing Amazon.com CEO Andy Jassy's predictions that automation would cost jobs at the company have proven accurate at Amazon Web Services. Amazon confirmed to The Register today that jobs will go at several teams at AWS, though the company declined to provide specifics on numbers, or which teams were involved. We understand around 100 jobs are at stake. "After a thorough review of our organization, our priorities, and what we need to focus on going forward, we've made the difficult business decision to eliminate some roles across particular teams in AWS," company spokesperson Brad Glasser told us in an email. "We didn't make these decisions lightly, and we're committed to supporting the employees throughout their transition," Glasser told us in a cookie-cutter copy of the message we received last year when AWS laid off a batch of employees. "These decisions are necessary as we continue to invest, hire, and optimize resources to deliver innovation for our customers." An AWS spokesperson told us that despite these layoffs, overall headcount will grow as the business unit has thousands of open roles. Sources familiar with AWS operations who requested anonymity told The Register most of the layoffs affected people in marketing and outreach roles, although chatter on sites like Blind suggests folks in frontline support and in other positions may have been affected, too. Regardless of who was cut, we're told AWS gave workers no warning. A former employee described the process as "cold and soulless" as it involved just an unheralded email announcing their position had been eliminated. "From what we can tell, decisions were based largely on titles and high-level optics rather than a nuanced understanding of roles, skills, or actual overlap in responsibilities," the employee claimed. A now-ex AWS staffer said one reason for the cuts was AWS is committed to adopting generative AI "as a way to streamline operations and reduce headcount." Our source feels the job cuts are "premature" as Amazon's staff remain largely unfamiliar with generative AI tools, and have not been trained on the tech. They also said Amazon's generative AI tools are not leading edge. "Amazon's lack of a good AI tech stack is making it difficult to keep up with those who can use much stronger models like [Chat]GPT," the AWS insider said. "This raises questions about the practicality and timing of such a transition." Amazon contends that it gives employees plenty of time to learn about AI tools and how to use them in their roles, and told us that many are already using it effectively. As one example, a spokesperson told us that internal Amazon developers saved more than 450,000 collective hours on manual technical investigations using one tool. The Register has not, however, received an on-the-record denial that AI did not contribute to these layoffs. Our sources also tell us that changes in AWS marketing may have contributed to the layoffs. "AWS Marketing is in the middle of transitioning to Adobe Managed Services," the former staffer told us, adding that the move is a "major departure" from AWS's previous internal management of such processes. Amazon denied that the latest round of layoffs have anything to do with Adobe. Amazon boss Andy Jassy last month sent a memo in which he warned that jobs would go at Amazon as the company implements more AI. "We expect that this will reduce our total corporate workforce as we get efficiency gains from using AI extensively across the company," Jassy told staffers - and it seems that efficiency guillotine is already falling. ®

Exclusive: Amazon's AWS cloud computing unit cuts at least hundreds of jobs, sources say

SAN FRANCISCO, July 17 (Reuters) - Amazon (AMZN.O), opens new tab cut at least hundreds of jobs in its Amazon Web Services cloud computing unit on Thursday, two sources said, just a month after CEO Andy Jassy warned that adoption of generative AI tools would trigger a workforce reduction. An Amazon spokesperson confirmed it had cut jobs but did not provide a number. Amazon, which employed 1.6 million full- and part-time workers globally as of the end of March, has joined a growing list of firms, including Microsoft (MSFT.O), opens new tab, Meta (META.O), opens new tab, and CrowdStrike (CRWD.O), opens new tab in announcing layoffs this year. Many corporations are increasingly using artificial intelligence to write code for their software and adopting AI agents to automate routine tasks, as they look to save costs and cut reliance on people. "We've made the difficult business decision to eliminate some roles across particular teams in AWS," the Amazon spokesperson said in an emailed statement. "These decisions are necessary as we continue to invest, hire, and optimize resources to deliver innovation for our customers." AWS sales rose 17% in the first quarter to $29.3 billion compared to a year earlier and operating income rose 23% to $11.5 billion. Several employees told Reuters they had received emails on Thursday morning that told them they had been terminated and their computers were being deactivated. While Reuters could not determine the full scope of the layoffs, at least one group, known as "specialists," was affected. Specialists work with customers to help create new product ideas and sell existing services. Several groups within AWS were part of the layoffs, Amazon said. Amazon has been making piecemeal job cuts, most recently in its books, devices and services unit, as well as its Wondery podcast division. Jassy is reducing what he has described as an excess of bureaucracy at the company, including by eliminating managers. Reporting by Greg Bensinger in San Francisco and Reporting by Jaspreet Singh in Bengaluru; Editing by Franklin Paul and Rod Nickel Our Standards: The Thomson Reuters Trust Principles., opens new tab * Suggested Topics: * Retail & Consumer * Employment Greg Bensinger Thomson Reuters Greg Bensinger joined Reuters as a technology correspondent in 2022 focusing on the world's largest technology companies. He was previously a member of The New York Times editorial board and a technology beat reporter for The Washington Post and The Wall Street Journal. He also worked for Bloomberg News writing about the auto and telecommunications industries. He studied English literature at The University of Virginia and graduate journalism at Columbia University. Greg lives in San Francisco with his wife and two children.

Amazon Web Services latest to cut 'hundreds of jobs' amid AI shift

AWS directly employs more than 4,200 employees in Ireland. It is unclear whether they will be affected in the latest job cuts. Amazon cut hundreds of jobs at its cloud computing unit Amazon Web Services (AWS) yesterday (17 July), outlets reported, just a month after CEO Andy Jassy said the company expects artificial intelligence to reduce its total corporate workforce. While the layoffs were confirmed by Amazon, no details were provided. Reports suggest that "at least hundreds of jobs" were cut. AWS directly employs more than 4,200 employees in Ireland and more than 3,000 who work for AWS suppliers and sub-contractors. It is unclear whether the latest jobs cuts will affect Ireland-based employees. SiliconRepublic.com has reached out to AWS for further clarification. "After a thorough review of our organisation, our priorities and what we need to focus on going forward, we've made the difficult business decision to eliminate some roles across particular teams in AWS", Amazon spokesperson Brad Glasser told news outlets on Thursday. "We didn't make these decisions lightly and we're committed to supporting the employees throughout their transition. These decisions are necessary as we continue to invest, hire and optimise resources to deliver innovation for our customers." AWS made a similar statement last year after it laid off employees in a bid to "streamline" and focus on "key strategic areas". Job cuts in Big Tech is becoming more and more commonplace as companies lean further into AI to boost efficiency and cut costs. Last week, job-hunting platforms Indeed and Glassdoor said they would cut roughly 1,300 jobs while diverting focus into AI. Earlier this month, Microsoft announced its latest several-thousand employee redundancy - this time affecting Ireland-based employees. While, also in July, Intel announced redundancies at its Leixlip, Co- Kildare foundry, which could affect up to 200 people working there. Business leaders are beginning to admit that AI will have a drastic impact on white-collar jobs. In a recent interview, Ford CEO Jim Farley said that he believes "half of all white-collar workers in the US" could lose their jobs to AI in the coming years. While Anthropic CEO Dario Amodei told Axios earlier this year that AI could wipe out half of all entry-level white-collar jobs and spike unemployment to 10 to 20pc in the US in the next five years. Although, Nvidia CEO Jensen Huang disagrees. He believes that while some jobs are set to be obsolete in the AI-era, advancements in the tech will create opportunities elsewhere. Don't miss out on the knowledge you need to succeed. Sign up for the Daily Brief, Silicon Republic's digest of need-to-know sci-tech news.

Amazon's cloud division cuts hundreds of jobs as AI spending intensifies

Amazon confirmed it will lay off an undisclosed number of employees in its Amazon Web Services cloud-computing division, the latest cuts in an industry grappling with rising costs for artificial intelligence. Amazon is the latest tech giant to cull its workforce as spending for artificial intelligence rapidly increases. Like Microsoft, Amazon said the layoffs are a result of reviewing the business and finding areas it believes could be streamlined. Microsoft laid off 15,000 employees between May and July. Reuters reported Thursday that layoffs across multiple teams in Amazon Web Services could affect hundreds of employees. Amazon did not disclose a number. "After a thorough review of our organization, our priorities, and what we need to focus on going forward, we've made the difficult business decision to eliminate some roles across particular teams in AWS," Amazon spokesperson Brad Glasser said in an emailed statement. "We didn't make these decisions lightly, and we're committed to supporting the employees throughout their transition. These decisions are necessary as we continue to invest, hire, and optimize resources to deliver innovation for our customers." The layoffs come a month after Amazon CEO Andy Jassy told employees that the company's corporate headcount could decrease over the next few years due to efficiencies from AI. But Amazon said Wednesday's cuts were not primarily driven by the technology. Amazon frames the layoffs much like the rest of the tech industry has during the AI boom, with a need to prioritize different parts of the business. Amazon said it has thousands of jobs posted across AWS and that the cuts were primarily about investing in "key strategic areas." AWS is Amazon's most profitable division, with margins much wider than the retail side of the company that's hampered by the costs of shipping and logistics. The cloud division reported $29.3 billion in revenue for the first three months of 2025 with $11.5 billion in operating income. The layoffs come a little more than two weeks after Amazon's second fiscal quarter ended. The company is expected to report financial results in a few weeks.

Amazon layoffs: Jobs cut across AWS Cloud division - The Economic Times

Amazon AWS layoffs 2025: Amazon has laid off several hundred employees from its AWS cloud division, according to Reuters. The exact number remains unclear. The cuts are part of a wider restructuring effort at the company, which comes just over a month after previous job reductions in other parts of the business.Amazon has laid off at least several hundred employees from its Amazon Web Services (AWS) cloud computing division on Thursday, according to Reuters. While the precise number of job cuts has not been disclosed, the move marks another round of cuts in a broader series of layoffs at the tech giant. An Amazon spokesperson confirmed the development, stating: "We've made the difficult business decision to eliminate some roles across particular teams in AWS," adding: "These decisions are necessary as we continue to invest, hire, and optimise resources to deliver innovation for our customers." According to accounts from multiple staff members, affected employees were informed via email on Thursday morning that their roles had been terminated and that access to their computers was being deactivated. The layoffs are said to impact multiple teams within AWS. One of the groups affected is known as "specialists", a team that works closely with customers to develop new product ideas and support the sales of existing AWS services. This development is just over a month after Amazon reduced headcount in its books business, including at its Goodreads review platform and Kindle operations. Prior to that, reductions were made in the company's devices and services division, its Wondery podcast unit, and among staff in retail stores and corporate communications. These job cuts form part of a broader strategy led by CEO Andy Jassy to tackle what he has called unnecessary bureaucracy within Amazon. The restructuring includes efforts to reduce layers of management. Jassy told his employees last month that artificial intelligence (AI) will gradually reduce the need for certain corporate roles as more AI tools and agents are integrated across its operations. Through this year's first quarter, Amazon added about 4,000 jobs compared to last year's fourth quarter, according to a disclosure in May. Meanwhile, AWS continues to show strong financial performance. In the first quarter, the division recorded a 17% year-on-year increase in revenue, reaching $29.3 billion. Operating income also rose 23% to $11.5 billion.

Tech layoffs: Amazon, Intel to cut more jobs amid AI push, cost control - The Economic Times

Amazon has cut hundreds of AWS jobs amid wider tech layoffs, with Intel, Microsoft, and TikTok also reducing staff to curb costs and prioritize AI. Amazon's CEO warned AI will impact office roles. Intel plans 5,500 U.S. cuts, Microsoft trims 4% of staff, and TikTok restructures its ecommerce division.Amazon has carried out another round of job cuts as part of a wider trend across the tech industry. This month, major companies, including Amazon, Intel, Microsoft, and TikTok, have either let staff go or announced job cuts, as they look to manage rising costs and increase their focus on artificial intelligence (AI). Amazon On Thursday, Amazon laid off several hundred employees from its Amazon Web Services (AWS) cloud division. However, the exact number of job losses has not been revealed. This follows earlier layoffs in its books business, including at Goodreads and the Kindle team. In May, the company also cut jobs in its devices and services unit, Wondery podcast division, retail stores, and corporate communications. Last month, CEO Andy Jassy had warned employees that AI would gradually reduce the need for some office-based roles as new tools are introduced across operations. Intel ET reported on Thursday that Intel plans to lay off over 5,500 staff in the United States, more than earlier estimates of 4,000. Filings by the company revealed that the biggest impact will be felt in California and Oregon. In Oregon alone, where Intel is the state's largest private employer, the company expects to cut 2,932 jobs, four times more than what was initially planned. Another 696 roles are set to go in Arizona. Last month, ET said that CEO Lip-Bu Tan was preparing for wider global layoffs, which could affect up to 20% of Intel's workforce, as part of efforts to lower spending. Microsoft Earlier this month, Microsoft confirmed it would reduce its global workforce by around 4%. The company had already announced in May that about 6,000 roles would be cut. Microsoft, which had about 228,000 staff as of June 2024, also said it would streamline internal structures by reducing the number of managers and simplifying how teams and products are organised. TikTok job cuts At TikTok, job cuts are mainly expected within the ecommerce division, TikTok Shop. As reported by Business Insider, the company told staff it would make "organisational and personnel changes" to improve efficiency. Last month, Bloomberg said TikTok had begun replacing some US-based employees with executives from China, after falling short of its $17.5 billion sales goal in the US ecommerce market.

Amazon Slashes Roles In AWS Cloud Unit As CEO Andy Jassy Says AI Will Reduce The Need For Certain Roles: Report - CrowdStrike Holdings (NASDAQ:CRWD), Amazon.com (NASDAQ:AMZN)

Amazon.com Inc. AMZN has reportedly laid off several employees within its Amazon Web Services (AWS) cloud division, as the company continues to restructure amid the growing impact of generative artificial intelligence. What Happened: At least several hundred employees in AWS were let go, reported Reuters, citing two sources familiar with the matter. While Amazon confirmed the layoffs, it declined to disclose the exact number of affected workers. "We've made the difficult business decision to eliminate some roles across particular teams in AWS," an Amazon spokesperson told the publication. "These decisions are necessary as we continue to invest, hire, and optimize resources to deliver innovation for our customers." See Also: Mark Zuckerberg Warns Of 'Serious Disadvantage' As China's Data-Center Blitz Could Let DeepSeek Leapfrog US AI Labs Employees in multiple teams, including the "specialists" group -- who work closely with clients to develop cloud solutions and promote services -- were impacted, the report said. Several workers told the publication they received termination emails and had their systems deactivated on Thursday morning. Why It's Important: The cuts follow Amazon CEO Andy Jassy's comments that the increasing use of AI would reduce the need for certain roles. Amazon is also among a growing list of tech giants, including Microsoft Corporation MSFT, Meta Platforms, Inc. META and CrowdStrike Holdings Inc. CRWD, to announce job reductions in 2025. Trending Investment OpportunitiesAdvertisementArrivedBuy shares of homes and vacation rentals for as little as $100. Get StartedWiserAdvisorGet matched with a trusted, local financial advisor for free.Get StartedPoint.comTap into your home's equity to consolidate debt or fund a renovation.Get StartedRobinhoodMove your 401k to Robinhood and get a 3% match on deposits.Get Started Last month, Amazon laid off fewer than 100 employees in its Books division, including at Goodreads and Kindle, as part of ongoing efforts to streamline operations. The move followed job cuts across other units like devices and services, Wondery, and its stores and communications teams. Price Action: Amazon shares rose 0.31% during Thursday's regular session and added another 0.21% in after-hours trading, according to Benzinga Pro data. Benzinga's Edge Stock Rankings show that Amazon continues to exhibit a strong upward trend across short, medium and long-term periods. More detailed metrics are available here. Read Next: Cathie Wood Dumps Palantir As Stock Touches Peak Prices, Bails On Soaring Flying-Taxi Maker Archer Aviation Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Image Via Shutterstock AMZNAmazon.com Inc$224.350.52%Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full ScoreEdge RankingsMomentum65.75Growth97.12Quality66.79Value49.45Price TrendShortMediumLongOverviewCRWDCrowdStrike Holdings Inc$469.25-0.26%METAMeta Platforms Inc$702.66-0.04%MSFTMicrosoft Corp$512.771.41%Market News and Data brought to you by Benzinga APIs

Amazon slashing hundreds of jobs at AWS cloud unit -- month after...

Amazon cut at least hundreds of jobs in its Amazon Web Services cloud computing unit on Thursday, two sources said, just a month after CEO Andy Jassy warned that adoption of generative AI tools would trigger a workforce reduction. An Amazon spokesperson confirmed it had cut jobs but did not provide a number. Amazon, which employed 1.6 million full- and part-time workers globally as of the end of March, has joined a growing list of firms, including Microsoft, Meta, and CrowdStrike in announcing layoffs this year. Many corporations are increasingly using artificial intelligence to write code for their software and adopting AI agents to automate routine tasks, as they look to save costs and cut reliance on people. "We've made the difficult business decision to eliminate some roles across particular teams in AWS," the Amazon spokesperson said in an emailed statement. "These decisions are necessary as we continue to invest, hire, and optimize resources to deliver innovation for our customers." AWS sales rose 17% in the first quarter to $29.3 billion compared to a year earlier and operating income rose 23% to $11.5 billion. Several employees told Reuters they had received emails on Thursday morning that told them they had been terminated and their computers were being deactivated. While Reuters could not determine the full scope of the layoffs, at least one group, known as "specialists," was affected. Specialists work with customers to help create new product ideas and sell existing services. Several groups within AWS were part of the layoffs, Amazon said. Amazon has been making piecemeal job cuts, most recently in its books, devices and services unit, as well as its Wondery podcast division. Jassy is reducing what he has described as an excess of bureaucracy at the company, including by eliminating managers.