Amazon, Uber To Lay Off More Employees As AI Reshapes Tech Workforce

Job Loss Amid AI Push: Amazon has announced fresh job cuts in its Artificial General Intelligence (AGI) division as the company continues to invest heavily in advanced AI models and products. The move comes barely months after the e-commerce giant eliminated around 16,000 corporate roles as part of a wider restructuring exercise. 

The tech giant has not disclosed how many employees were affected this time. However, it said the layoffs are part of a strategic shift to focus resources on projects that deliver the greatest value to customers.

The latest cuts, as per a Reuters report, will impact teams working under Amazon's AGI organisation, which is responsible for building next-generation AI systems. Despite the workforce reduction, Amazon maintains that artificial intelligence remains one of its biggest long-term priorities. 

The restructuring follows leadership changes within the AGI unit. Earlier this year, Amazon reorganised its AI efforts under senior vice-president Peter DeSantis after key executives overseeing the division moved on. 

The development underlines a growing trend across Silicon Valley. Technology companies are pouring billions of dollars into AI infrastructure while simultaneously trimming teams to improve efficiency and redirect investments.

Uber Cuts 10% Customer Service Workforce

Besides Amazon, Uber has also announced that it will cut about 10 per cent of its customer service workforce as it expands the use of artificial intelligence across its operations. The company said the move is aimed at simplifying processes and improving efficiency, with AI expected to handle a larger share of customer interactions. 

The ride-hailing company joins a growing list of firms using AI not just to build new products, but also to automate routine business functions. Customer support has emerged as one of the first areas where generative AI is replacing repetitive tasks once handled by humans. 

Industry analysts say companies are entering a new phase of AI adoption. Instead of treating AI as an experimental technology, businesses are redesigning teams around it. While this could improve productivity and reduce costs, it is also raising concerns about the future of white-collar jobs, especially in customer support, administration and back-office operations.