AI Replacing Tech Workers? Amazon Lays Off 250 Employees Via Early Morning Emails

New Delhi: Amazon has laid off around 250 employees from its devices and services division, with software development roles bearing the brunt of the latest job cuts. The move comes as the company expands its artificial intelligence (AI) investments and makes AI a central part of its engineering operations.

The layoffs were announced on Wednesday, the same day Amazon introduced five new devices with Alexa, like a redesigned Echo Show 16 smart screen, an Alexa Photo Frame, and the Echo Time bedside clock.  The devices division makes products like Kindle e-readers and Echo smart speakers. 

Amazon confirmed the job cuts after a Reuters inquiry but did not disclose the number of employees affected. A person familiar with the matter said the reductions involved no more than 250 positions. 

"We've made the difficult decision to eliminate a small number of roles," an Amazon spokesperson said, adding that the changes would help the company “operate more efficiently and better align with our product roadmap.”

Employees Informed Through Early Morning Emails

Affected employees were informed about the layoffs through emails and text messages sent early Wednesday morning, according to Reuters. One email cited in the report was sent by Cherie Robinson, a vice president in Amazon's devices and services division.

Robinson wrote that the company had conducted "a thorough review of our structure," which led to the decision to cut jobs.

Early morning notifications have also featured in previous rounds of job cuts at other technology companies, including Meta and Oracle. The latest reductions come shortly after Amazon published a September memo from its engineering leadership outlining how developers should adapt to the growing use of AI in software development.

"We all need to embrace this change and take the time to learn, or we risk being left behind," the memo said, underlining the company's push to make AI a key part of its engineering practices.

Fresh Cuts Follow Thousands Of Job Losses

The layoffs in the devices division follow Amazon's decision earlier this month to eliminate around 1,000 jobs in its core retail business. The company had also announced 16,000 job cuts in January, following the elimination of 14,000 positions in October last year.

Amazon is simultaneously committing substantial resources to AI, with its investment in the technology expected to reach as much as $220 billion this year. The latest layoffs are happening just before the company shares its third-quarter earnings results, which are set to be announced after the markets close on Thursday. 

Amazon is not alone in reducing its workforce as technology companies reassess their operations and spending priorities. According to reports, more than 135,000 technology jobs have been eliminated this year. Dropbox recently announced plans to cut 9 per cent of its global workforce, while Microsoft has offered voluntary exit options to roughly 60,000 employees, or around one-fourth of its total workforce.