Amazon has begun another round of job cuts, this time within its Artificial General Intelligence (AGI) division, which reveals a broader restructuring strategy that prioritises high-impact artificial intelligence projects while trimming roles considered less critical.
The latest layoffs, announced on Wednesday, come just six months after the technology giant eliminated about 16,000 corporate positions globally in one of the largest workforce reductions in its history.
Although Amazon did not disclose the number of employees affected in the AGI unit, the company said the decision was part of a strategic review aimed at concentrating resources on initiatives expected to deliver the greatest value to customers.
The affected division is responsible for Amazon’s long-term AGI ambitions, including developing AI systems capable of performing a broad range of cognitive tasks comparable to or beyond human capabilities.
The unit also supports the company’s generative AI products, including its Nova foundation models and AI services offered through Amazon Web Services (AWS).
The restructuring follows a leadership shift within Amazon’s AI organisation. Rohit Prasad, who previously led the AGI group, and David Luan, head of the AGI Lab, have exited their roles, while the company’s AI efforts were reorganised under Peter DeSantis, senior vice president, alongside Amazon’s quantum computing and silicon engineering teams.
The move reflects a growing trend across the global technology sector, where companies are simultaneously investing billions of dollars in AI infrastructure while reducing headcount in areas where automation and organisational streamlining are expected to improve efficiency.
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Earlier this year, Amazon announced plans to cut approximately 16,000 corporate jobs worldwide, saying the restructuring was intended to reduce management layers, eliminate bureaucracy and improve operational efficiency as competition in AI intensifies.
Despite the latest layoffs, Amazon said AI remains one of its highest strategic priorities. The company continues to invest aggressively in foundation models, cloud-based AI services and AI-powered features across its retail, cloud computing and devices businesses.
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