Amazon to Cut 30,000 Corporate Jobs
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The company didn’t say how many video-game jobs will be cut, but noted in a memo Tuesday that “significant role reductions” would fall on its offices in Irvine and San Diego, as well as its central publishing division.
To be sure, some experts downplayed the impact of AI, saying the productivity benefits of the technology remain uncertain and recent layoffs may owe to a host of other factors, including a wider economic slowdown. Many economists expect AI to add new job opportunities, even as it eliminates others, they noted.
Amazon confirmed plans to reduce its corporate workforce, impacting 14,000 employees. The company cited a need to be more lean and the increasing prevalence of artificial intelligence as reasons for the cuts. Those who do not find a new role will be offered severance pay and other transition benefits.
Following its latest mass layoff announcement, Amazon is shifting away from game development and ending support for New World.
Amazon’s cloud-computing arm plans to invest an additional $5 billion in South Korea over the next six years to build new artificial-intelligence data centers in the country.