Amazon cuts an undisclosed number of roles in its artificial general intelligence organization six months after 16,000 layoffs

by | Jul 23, 2026 | Latest E-commerce News & Updates

Amazon eliminated an undisclosed number of roles inside its artificial general intelligence organization, according to The Wall Street Journal. Amazon said it is narrowing its focus to the projects it considers most valuable to customers, which forced difficult decisions including cutting some AGI positions, though it maintains that building large AI models remains among its most important work. Affected U.S. employees will get 90 days of pay and benefits, outplacement support, transitional healthcare, and eligibility for severance. Amazon cut roughly 16,000 corporate jobs in January as Andy Jassy pushed to streamline the company, and the AGI reduction comes as large tech firms keep trimming headcount while raising AI infrastructure spending.

Paul Drecksler is the founder and editor of Shopifreaks, covering the most important stories in e-commerce.

Companies: Amazon

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