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Core Insights - Amazon plans to initiate a new round of layoffs as early as October 28, potentially cutting up to 30,000 corporate employees, marking the largest workforce adjustment since late 2022 [1][2] Group 1: Layoff Details - The layoffs will affect multiple core departments, including Human Resources (PXT), Cloud Computing (AWS), Advertising, Devices and Services, and Operations [2] - The layoffs will represent nearly 10% of Amazon's corporate workforce, which consists of approximately 350,000 employees in the U.S. out of a global total of 1.55 million [2] - The layoffs will not occur all at once but will be phased, with the scale potentially changing based on the company's financial and strategic priorities [2] Group 2: Reasons for Layoffs - Amazon views the layoffs as a correction to the aggressive hiring during the pandemic when online shopping demand surged, leading to a doubling of its warehousing network [2] - CEO Andy Jassy has emphasized cost-cutting and streamlining operations, stating that AI-driven efficiency improvements will make certain positions unnecessary [3] - The company has received around 1,500 feedback submissions through an anonymous channel aimed at identifying inefficiencies, resulting in over 450 process optimizations [3] Group 3: Financial Performance and AI Investment - Amazon's most profitable segment, AWS, reported second-quarter revenue of $30.9 billion, a year-over-year increase of 17.5%, although this growth rate is significantly lower than competitors like Microsoft Azure and Google Cloud [4] - The company is increasing investments in AI and automation, showcasing new robots aimed at reducing logistics costs and using AI tools to predict shopping preferences [4] Group 4: Broader Industry Context - Other major U.S. companies are also tightening their belts, with JPMorgan and Goldman Sachs indicating a shift towards avoiding reflexive hiring and maintaining stable employee counts despite sales growth [5] - According to Layoffs.fyi, 216 tech companies have laid off approximately 98,000 employees this year, with projections of 153,000 layoffs for the entire year of 2024 [6]