Attendees stroll by means of an exposition corridor at AWS re:Invent, a convention hosted by Amazon Net Providers, in Las Vegas on Dec. 3, 2024.
Noah Berger | Getty Pictures
Amazon is shedding some staffers in its cloud computing division, the corporate confirmed Thursday.
“After a radical evaluation of our group, our priorities, and what we have to concentrate on going ahead, we have made the troublesome enterprise resolution to get rid of some roles throughout explicit groups in AWS,” Amazon spokesperson Brad Glasser stated in an announcement. “We did not make these choices frivolously, and we’re dedicated to supporting the staff all through their transition.”
The corporate declined to say which items inside Amazon Net Providers had been impacted, or what number of staff will likely be let go because of the job cuts.
Reuters was first to report on the layoffs.
In Might, Amazon reported a 3rd straight quarterly income miss at AWS. Gross sales elevated 17% to $29.27 billion within the first quarter, slowing from 18.9% in the prior period.
Amazon stated the cuts weren’t primarily on account of investments in synthetic intelligence, however are a results of ongoing efforts to streamline the workforce and refocus on sure priorities. The corporate stated it continues to rent inside AWS.
Amazon CEO Andy Jassy has been on a cost-cutting mission for the previous a number of years, which has resulted in additional than 27,000 staff being let go since 2022. Job reductions have continued this 12 months, although at a smaller scale than previous years. Amazon’s stores, communications, and devices and services divisions have been hit with layoffs in latest months.
AWS last year lower lots of of jobs in its bodily shops know-how and gross sales and advertising and marketing items.
Final month, Jassy predicted that Amazon’s company workforce might shrink even additional because of the corporate embracing generative AI.
“We are going to want fewer individuals doing among the jobs which might be being achieved immediately, and extra individuals doing different forms of jobs,” Jassy informed staffers. “It is exhausting to know precisely the place this nets out over time, however within the subsequent few years, we anticipate that this can cut back our complete company workforce.”
