Amazon cuts hundreds of jobs across cloud computing division: GeekWire
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The news: Amazon’s cloud division, Amazon Web Services (AWS), will cut hundreds of roles across sales, marketing and its team developing tech for brick-and-mortar stores, according to reports confirmed by GeekWire.
The numbers: The cuts come around 12 months after AWS announced it would slash 27,000 corporate roles as it tried to rein-in costs after its Covid-19 hiring spree.
The context: According to an AWS statement, the company has “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 company has said it will try to find new roles for affected employees.
Internal AWS emails seen by GeekWire explain that the company is shifting its focus to self-serve digital training and training programs run by external partners. “We do not take these decisions lightly, and I know change can be difficult,” wrote Matt Garman, AWS senior vice president. “We operate in an incredibly fast-moving industry, and it is important that we stay agile as an organization.”
Sales growth at AWS slumped to a record low in 2023 as corporate customers tightened spending and delayed expensive tech modernisation projects.
The news follows the tech giant’s decision to abandon its ‘Just Walk Out’ payment system at Amazon Fresh stores, which will be replaced by Smart Carts in their new and existing shopfronts.
