Amazon cuts around 30,000 corporate jobs amid AI and cloud investment push

Workforce reductions span several rounds

Amazon has cut around 30,000 corporate jobs since late 2025, according to Business Explainer, in what the publication described as the company’s largest workforce reduction. The reductions have been concentrated in AWS, Alexa, Prime Video and retail operations.

The reported total includes 14,000 roles eliminated in October 2025 and 16,000 in January 2026. Additional, smaller rounds took place in May and July, although the number of positions affected in those rounds was not disclosed. The May reductions targeted Selling Partner Services, while the July cuts involved the artificial general intelligence, or AGI, unit.

Corporate employees have been the main group affected. Amazon’s warehouse and logistics workforce of about 1.5 million has remained largely untouched, the report said.

Restructuring alongside investment plans

The workforce reductions have occurred as Amazon restructures operations and reallocates resources toward AI and cloud infrastructure. The company plans to invest $200 billion (R3.76 trillion) in 2026, primarily in those areas, according to the report.

Amazon reported a 21% increase in late 2025 revenue, yet continued to streamline operations. Severance costs from the October 2025 layoffs alone reached $1.8 billion (R33.8 billion). The January 2026 cuts represented about 4.5% of Amazon’s corporate workforce.

The report linked the restructuring to a greater focus on automation, AI and AI-native products including Rufus. It said AWS support teams, Alexa engineers and Prime Video employees were among those affected.

Amazon is also expected to add capacity in AI-focused work, with about 11,000 new positions planned. The combination of reductions in corporate roles and planned hiring in technical areas reflects the company’s stated emphasis on AI and cloud infrastructure rather than a broad reduction across its workforce.

Divisions and regional effects

AWS, Alexa, Prime Video and retail operations were identified as areas affected by the cuts. The report also cited reductions tied to Amazon Fresh store closures in Maryland and Virginia.

California lost nearly 4,900 jobs and Washington state about 2,600, according to the report. It did not provide a total for the Maryland and Virginia reductions.

Amazon’s job reductions come amid a broader pattern of technology companies reducing roles while increasing AI infrastructure spending. Business Explainer said Intel, Oracle, Verizon and Meta had also announced significant reductions in 2026, often affecting middle management and support roles.

For Amazon, the reported 30,000-job total covers multiple rounds of corporate workforce reductions since October 2025. The company’s investment plans and prospective AI-focused hiring sit alongside those cuts, while warehouse and logistics operations remain largely unaffected.

Sources

• Amazon Cuts 30,000 Jobs As AI Spending Rises | Business explainer