Amazon Continues Layoffs: AWS Marketing and Tech Staff Downsized

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Key Takeaways

  • Amazon is cutting hundreds of roles in its cloud-computing line of business, Amazon Web Services.
  • The latest round of cuts adds to the thousands of job losses across Amazon over the last couple of years.
  • Amazon insists the layoffs are required to “streamline in order to continue focusing our efforts on the key strategic areas” to maximise returns.

Amazon Web Services (AWS) is set to lay off several hundred employees in the latest round of cuts.

An email announcement to staff on April 3, seen by Business Insider, states that marketing, tech, and sales roles will be affected.

Matt Garman, AWS SVP, reportedly told staff in the email, “We have made the difficult decision to reduce several hundred roles across specific Sales, Marketing, and Global Services (SMGS) organizations.”

A statement from Business Insider gave further rationale for the changes to Amazon’s cloud computing operation.

“We’ve identified a few targeted areas of the organization we need to streamline in order to continue focusing our efforts on the key strategic areas that we believe will deliver maximum impact.”

The statement continued, “We didn’t make these decisions lightly, and we’re committed to supporting the employees throughout their transition to new roles in and outside Amazon. These decisions are difficult but necessary as we continue to invest, hire, and optimize resources to deliver innovation for our customers.”

Amazon Layoffs: Timeline

The continuation of staff cuts across Amazon comes as AWS has shown signs of consolidation, beating quarterly revenue expectations in February amid market uncertainty.

In recent months, Amazon has continued to reduce its numbers as part of a significant restructuring over the last couple of years. At the turn of the year into early 2023, 18,000 employees were laid off, and the pattern continues.

Various Amazon brands and divisions, including Prime Video, Alexa, and healthcare, have been hit this year, as has Amazon subsidiary Twitch. The livestreaming giant lost around 500 staff, approximately 35% of its workforce.

Amazon also terminated up to 160 roles in its advertising unit last week.