Amazon Cuts Jobs in Artificial General Intelligence Unit

By Anvee Bhutani

Amazon.com cut jobs in parts of its artificial general intelligence organization, the latest targeted workforce reduction at a major technology company as the industry continues to pour billions of dollars into artificial intelligence.

The company didn't disclose how many employees were affected.

"We've been building large AI models for several years, and it remains one of the most important things we're working on," an Amazon spokesperson said. "This is a fast-moving space, and we're sharpening our focus on the initiatives that matter most for customers, so we can move faster on what counts."

The spokesperson said the increased focus led to "some difficult decisions, including eliminating some roles within parts of our AGI organization," while the company continues investing in AI initiatives it considers most important for customers.

Amazon has been racing to expand its AI offerings, developing its Nova family of foundation models and investing heavily in generative AI services for customers through Amazon Web Services, while also integrating AI features across its retail and devices businesses.

The move comes as large technology companies continue reshaping their workforces while increasing spending on AI infrastructure. Amazon announced broad corporate layoffs affecting about 16,000 employees in January as Chief Executive Andy Jassy pushed to streamline the company while accelerating AI investments.

Amazon said affected U.S. employees will receive 90 days of pay and benefits, outplacement support, transitional healthcare benefits and will be eligible for severance payments.

The company said it remains committed to investing in artificial intelligence despite the cuts, describing the layoffs as part of an effort to prioritize the initiatives it believes will have the greatest impact for customers.

Write to Anvee Bhutani at anvee.bhutani@wsj.com

(END) Dow Jones Newswires

July 22, 2026 11:26 ET (15:26 GMT)