The technology giant first revealed its plans to cut 30,000 jobs in October. At the time, management said the cuts were mainly due to advances in AI.
However, Amazon CEO Andy Jassy later admitted during an earnings call that the layoffs were “not really financially driven and it’s not even really AI-driven.”
Less than a week after the original announcement, AWS suffered its longest unplanned outage, shutting down thousands of websites and apps for hours. Engineers traced the failure to an automated system error.
Despite this, Amazon is continuing with its layoffs, Reuters has revealed.
Currently, Amazon is one of the largest employers in the world, however, as it plans to cut over 500,000 jobs over the next few years.
However, is it not the only technology giant who announced layoffs this month:
- Meta cut between 1,000-1,500 jobs at the start of this year, affecting its Reality Labs.
- Intel announced 24,000 job cuts, about 15% of its staff.
- Microsoft cut 15,000 positions.
- Ericsson announced 1,600 job cuts on top of 5,000 layoffs in 2025.
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