Amazon is laying off 16,000 employees as AI battle intensifies



Thursday, January 29, 2026-Amazon has announced it will eliminate around 16,000 corporate jobs worldwide, marking its second major round of layoffs in just three months as the tech giant accelerates efforts to streamline operations and compete in the rapidly evolving artificial intelligence (AI) landscape.

The cuts follow earlier job reductions of 14,000 roles and form part of a larger plan to trim about 30,000 corporate positions overall. The company says the layoffs are aimed at reducing bureaucracy, increasing ownership, and boosting agility as it shifts focus toward AI development and long‑term strategic priorities.

Beth Galetti, Amazon’s senior vice president of people experience and technology, told employees in an internal memo that most affected U.S. staff will have 90 days to find another role within the company, with severance and benefits offered for those who do not secure new positions.

The layoffs impact multiple business units, including cloud services, retail, Prime Video, and advertising, and come amid broader corporate restructuring that includes closing physical Amazon Fresh and Amazon Go stores. Amazon emphasizes it will continue hiring in areas critical to future growth even as it cuts roles it deems redundant or less central to its AI‑driven strategy.

CEO Andy Jassy has publicly tied workforce changes to the company’s need to become more nimble and efficient as AI transforms business operations across the sector. Jassy has said in previous internal communications that expanded use of AI will reduce the need for some traditional corporate roles over time.

The layoffs have drawn attention across the industry as part of a broader trend of tech companies restructuring amid rising competition in AI, automation, and efficiency improvements.

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