Media: Amazon to Conduct Massive Layoffs — Gaming Division Also Affected. UPDATED
Amazon Corporation is expected to announce a significant round of layoffs today, according to sources from Reuters and Bloomberg. Their information suggests that up to 30,000 employees could lose their jobs.
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Reports indicate that the layoffs will affect several key divisions of Amazon, including its gaming sector. However, the exact number of jobs to be cut within the gaming teams is unknown.
According to the media, Amazon plans to optimize costs and offset the overhiring that took place during the COVID-19 pandemic with these layoffs. Additionally, at least part of the workforce reduction is attributed to the focus on developing artificial intelligence technologies. Back in June, Amazon's CEO, Andy Jassy, stated that the company intends to use AI for an increasing number of tasks, which will lead to layoffs in the future.
Amazon representatives declined to comment on the layoff rumors to Reuters and Bloomberg.
Update: Amazon has officially confirmed the layoffs, but the scale is smaller than expected — 14,000 people.