Amazon to Cut 30,000 Corporate Jobs Amid AI Investment Push

Amazon is reportedly preparing to cut a large portion of its corporate workforce, with plans to dismiss tens of thousands of office employees as part of a broader cost-reduction strategy and renewed focus on artificial intelligence (AI).

According to multiple media reports, as many as 30,000 corporate jobs could be eliminated in the coming weeks — nearly 10 percent of Amazon’s approximately 350,000 office positions. The layoffs are not expected to impact the company’s vast network of warehouse and logistics staff, who make up most of its 1.5 million global employees.

The decision aligns with CEO Andy Jassy’s ongoing efforts to enhance efficiency and eliminate unnecessary management layers. Jassy has emphasized AI’s transformative potential, noting that it can optimize everything from customer interactions to internal processes.

“Our conviction that AI will change every customer experience is starting to play out,” Jassy said during Amazon’s last quarterly earnings call. The company sees workforce reductions as a means to lower expenses while freeing resources for significant, long-term investments in AI infrastructure.

The timing of the layoffs coincides with rising pressure on Amazon to prove the financial viability of its extensive AI spending ahead of its quarterly earnings report on Thursday.

Industry experts predict that Amazon Web Services (AWS) — the company’s cloud computing division and main profit driver — will face scrutiny to deliver both revenue growth and improved operating margins, reflecting its heavy AI-related investments.

Amazon declined to comment on the reported job cuts. Still, its stock closed slightly higher as reports circulated, suggesting investors view the move as a sign of prudent financial management.

The news follows a recent AWS outage that disrupted major online platforms for several hours last week, highlighting the global economy’s dependence on Amazon’s digital infrastructure.

The disruption, caused by a Domain Name System (DNS) malfunction — essentially the internet’s “address book” — led to widespread service interruptions. Affected platforms included Prime Video, Disney+, WhatsApp, and Signal, as well as gaming, hospitality, and financial services such as Fortnite, Airbnb, Snapchat, Duolingo, and several banks.

AWS eventually restored normal operations, but the incident displayed how critical the company’s cloud services are — and the potential fallout when issues arise within one of the world’s most vital digital systems.