Amazon cuts jobs in AGI team after laying off 16,000 employees
Amid layoffs, Amazon stated that the changes would help the company focus on its most important AI projects.
- Jul 23, 2026,
- Updated Jul 23, 2026 11:28 AM IST
Amazon's restructuring continues in July as the company cuts jobs in the artificial general intelligence (AGI) division. This is the second major layoff by the company this year, after cutting over 16,000 jobs in January.
The company has not confirmed how many employees were affected, but the move is said to be part of a series of smaller layoffs. However, it stated the changes would help the company focus on its most important AI projects.
Reuters quoted an Amazon spokesperson, who said, “We've been building large AI models for several years, and it remains one of the most important things we're working on.”
“We’re sharpening our focus on the initiatives that matter most for customers, so we can move faster on what counts. That focus means some difficult decisions, including eliminating some roles within parts of our AGI organisation.”
Amazon’s leadership changes in AI division
Amazon has recently gone through significant leadership changes in its Artificial General Intelligence (AGI) division. Rohit Prasad, one of Amazon's top executives leading AGI efforts, left the company at the end of last year, according to Reuters. David Luan, who led Amazon's AGI Lab, departed in February.
In December, Amazon restructured the entire AGI organisation and placed it under Senior Vice President Peter DeSantis, who now oversees AGI, silicon chip development and quantum computing initiatives.
Must read: OpenAI's first AI device isn't a phone; Its a moving smart speaker to rival Amazon Alexa
Employees from two AGI teams reported being affected by the layoffs. The impacted teams were led by Adeeb Shanaa, Vice President of AGI Data Services and Vishal Sharma, Vice President of AGI Information.
The AI-driven tech layoffs have become one of the biggest concerns in the tech industry. Amid ongoing shifts, employees have become more anxious about their future, and many are also demanding greater support from their companies. Recently, Google employees signed a petition to provide voluntary exit packages and guaranteed severance pay for future layoffs.
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Amazon's restructuring continues in July as the company cuts jobs in the artificial general intelligence (AGI) division. This is the second major layoff by the company this year, after cutting over 16,000 jobs in January.
The company has not confirmed how many employees were affected, but the move is said to be part of a series of smaller layoffs. However, it stated the changes would help the company focus on its most important AI projects.
Reuters quoted an Amazon spokesperson, who said, “We've been building large AI models for several years, and it remains one of the most important things we're working on.”
“We’re sharpening our focus on the initiatives that matter most for customers, so we can move faster on what counts. That focus means some difficult decisions, including eliminating some roles within parts of our AGI organisation.”
Amazon’s leadership changes in AI division
Amazon has recently gone through significant leadership changes in its Artificial General Intelligence (AGI) division. Rohit Prasad, one of Amazon's top executives leading AGI efforts, left the company at the end of last year, according to Reuters. David Luan, who led Amazon's AGI Lab, departed in February.
In December, Amazon restructured the entire AGI organisation and placed it under Senior Vice President Peter DeSantis, who now oversees AGI, silicon chip development and quantum computing initiatives.
Must read: OpenAI's first AI device isn't a phone; Its a moving smart speaker to rival Amazon Alexa
Employees from two AGI teams reported being affected by the layoffs. The impacted teams were led by Adeeb Shanaa, Vice President of AGI Data Services and Vishal Sharma, Vice President of AGI Information.
The AI-driven tech layoffs have become one of the biggest concerns in the tech industry. Amid ongoing shifts, employees have become more anxious about their future, and many are also demanding greater support from their companies. Recently, Google employees signed a petition to provide voluntary exit packages and guaranteed severance pay for future layoffs.
For Unparalleled coverage of India's Businesses and Economy – Subscribe to Business Today Magazine