Amazon is said to have cut hundreds of jobs in its Amazon Web Services (AWS) unit, as the company continues to invest billions in its data centre infrastructure as part of an AI push.
Reuters reported Amazon confirmed the job cuts, but it did not provide an exact number.
The news agency reported in June Amazon CEO Andy Jassy warned the use of generative AI would lead to a reduction in its workforce.
“We’ve made the difficult business decision to eliminate some roles across particular teams in AWS”, a representative for Amazon told Reuters. “These decisions are necessary as we continue to invest, hire, and optimise resources to deliver innovation for our customers”.
Several impacted employees told Reuters yesterday (17 July) they had lost their jobs and their computers were deactivated.
Amazon spent $24.3 billion on capex in Q1, down from $26.3 billion a year ago. For the full year of fiscal 2025, Amazon expects to outlay $105 billion in capex which will primarily go towards AI capabilities and AWS expansion.
Source: Mobile World Live
Image Credit: Amazon
