Amazon confirmed layoffs in its AWS cloud division following a strategic review, saying the cuts were not primarily driven by AI. The company continues to hire in key areas.

Although Amazon maintains that the layoffs are not directly linked to its accelerating investments in AI, the timing of the restructuring coincides with a significant pivot toward GenAI

Amazon cut at least hundreds of jobs in its Amazon Web Services cloud computing unit on Thursday, two sources said, just a month after CEO Andy Jassy warned that adoption of generative AI tools would trigger a workforce reduction.