Amazon’s cloud computing unit, Amazon Web Services (AWS), has announced plans to cut hundreds of jobs as part of a strategic shift within the company. The job cuts will primarily affect the technology team responsible for physical stores, as well as the AWS sales, marketing, and global service organization.
The decision to reduce the workforce in the physical stores technology team comes just a day after Amazon revealed its abandonment of Just Walk Out technology in its U.S. grocery stores. This move indicates a shift in focus away from physical retail and towards other areas of the business.
In addition to the physical stores technology team, AWS will also be cutting several hundred roles in its sales, marketing, and global service organization. These cuts are primarily related to changes in AWS training and certification programs, as well as sales operations. The company states that these decisions are necessary in order to invest in other business priorities and deliver innovation for customers.
Amazon spokesperson Duncan Neasham acknowledged that these job cuts are difficult but necessary. He emphasized that the company remains committed to investing, hiring, and optimizing resources to drive innovation. Despite the layoffs, Amazon has thousands of AWS job openings posted online and plans to find internal opportunities for affected employees.
This is not the first time Amazon has implemented job cuts within the company and its subsidiaries this year. In January, several hundred positions were eliminated across Amazon’s Prime Video and MGM Studios unit. Twitch, the popular social media platform owned by Amazon, also laid off over 500 jobs in an effort to reduce costs. Audible, the online audiobook and podcast service, also let go of around 5 percent of its workforce.
While these layoffs may be seen as unfortunate for those impacted, it is important to note that Amazon is still actively hiring in priority areas. The company continues to seek talent to support its ambitious growth plans and maintain its position as a leader in the cloud computing industry.
In conclusion, Amazon’s cloud computing unit AWS has announced job cuts within its physical stores technology team and sales, marketing, and global service organization. These cuts come as part of a strategic shift in the company’s priorities and a move away from physical retail. Despite the layoffs, Amazon remains committed to investing in innovation and is actively hiring in other areas to support its growth.
