Amazon Web Services Announces Layoffs of Hundreds in Sales, Marketing, and Tech Teams

Amazon Web Services (AWS), a cloud-computing division of Amazon, announced it is laying off several hundred employees from its sales, marketing, and global services division, as well as its physical stores technology team.

This is the latest round of job cuts from Amazon, with the company aiming to streamline certain areas of its organization.

Amazon has laid off hundreds of staff in various divisions, including Prime Video, healthcare business, and Alexa voice assistant unit, bringing the total number of job cuts across 229 firms to over 57,000 in 2023.

This follows the tech industry's previous massive job cuts in 2022 and 2023, when Amazon let go of over 27,000 employees.

The latest cuts, affecting Amazon Web Services' sales, marketing, and global services division, are reportedly part of a broader reorganization under sales chief Matt Garman.

Amazon's cloud business, which experienced a growth slowdown last year due to economic uncertainty, showed signs of stabilization in February, allowing the company to surpass quarterly revenue expectations.

However, Amazon faces competition from Microsoft, which is leading the way in generating revenue from artificial intelligence through an investment in OpenAI, the creator of ChatGPT.