Amazon Web Services (AWS) is the target of a fresh round of layoffs that the company has confirmed. Insider reports indicate that at least several hundred workers were let go on Thursday as the business accelerates its shift to AI-powered operations.
Despite Amazon’s refusal to disclose the number of affected individuals, a representative formally acknowledged to Reuters: “We’ve made the difficult business decision to eliminate some roles across particular teams in AWS. These decisions are necessary as we continue to invest, hire, and optimise resources to deliver innovation for our customers.”
Continuing, numerous AWS teams were impacted by the cuts, including the “specialists” group, training and certification units, and customer support. These experts are in charge of assisting customers in creating new goods and solutions by utilising Amazon’s cloud services. Employees reportedly received emails about termination early on Thursday morning. In what some called sudden and confusing exits, their system access was immediately revoked, BrandSpur technology and information news desk reports.
This action comes after Andy Jassy, the CEO of Amazon, warned that the company’s workforce requirements would change as a result of generative AI tools and autonomous agents. He has been open about the company’s plan to simplify operations, cut out superfluous management tiers, and shift the emphasis to high-growth areas like artificial intelligence and cloud infrastructure.
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As AI continues to replace traditional jobs, Amazon’s most recent layoff is in line with those made by Microsoft, Meta, Salesforce, and Intel this year. Amazon alone has cut over 27,000 corporate jobs since 2022, including recent layoffs in its podcast, device, and book divisions.
Amazon’s profit is still primarily driven by AWS, though. In the first quarter of 2025, the division reported $11.5 billion in operating income and $29.3 billion in sales, a 17% year-over-year increase.
As a result, growth is decreasing in comparison to prior years. Management has responded to this by reevaluating headcount and concentrating hiring on AI-related roles.
Internally, Amazon has been integrating AI into all aspects of its business, including developer tools, logistics, Alexa, and shopping assistants. AI systems have reportedly helped developers save more than 450,000 hours of technical work.
Current layoffs at AWS indicate a transitional period where cost savings and automation are taking precedence over staff retention, despite Amazon’s claims that growth areas will eventually create new roles.
