"Amazon's January 2026 announcement of 16,000 layoffs brings corporate staff reductions to roughly 10% of its workforce. Publicly, leadership has been careful to separate these cuts from artificial intelligence."
"Jassy has been explicit about the role AI is already playing across the company, stating that 'in virtually every corner of the company, we're using generative AI to make customers' lives better and easier.'"
"Meta's current global average annual revenue per user sits at roughly $13-14. They would need to squeeze an additional $200 per year from each user just to break even on this investment alone."
The tech industry is undergoing silent firing, where jobs are subtly reshaped to encourage attrition in preparation for automation. Amazon announced 16,000 layoffs, about 10% of its workforce, while leadership claims these cuts are not driven by AI. However, CEO Andy Jassy acknowledges the transformative role of AI in the company. Meta faces a similar challenge, needing to either cut expenses or charge users more to cover a $600 billion infrastructure investment by 2028, which would require a significant increase in revenue per user.
Read at Fast Company
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