To accelerate innovation, Amazon has laid off over 1,800 engineers, with mid-level engineers being the hardest hit

Documents from U.S. state governments show that the large-scale layoffs announced by Amazon last month have had the greatest impact on engineers.

According to the Worker Adjustment and Retraining Notification (WARN) documents recently submitted by Amazon to U.S. state government agencies, of the approximately 4,700 positions cut in Washington, New York, New Jersey, and California, nearly 40% were engineering and technical roles, affecting over 1,800 engineers.

In addition to engineers, positions such as product managers and project managers were also heavily impacted, accounting for over 10%. The video game department, visual search team, and advertising business all faced significant blows. The layoffs of over 14,000 announced last month nearly affected all business segments of Amazon.

Reports indicate that Amazon expects to continue layoffs in January next year. Amazon's head of human resources, Beth Galetti, described artificial intelligence technology in the layoff memo as "the most transformative technology since the internet" and emphasized the need for a "more streamlined organizational structure" to respond quickly to the market.

This round of layoffs comes amid a general "slimming down" trend in the tech industry. Statistics show that 231 tech companies have laid off nearly 113,000 employees this year, continuing the trend of business adjustments that began in the post-pandemic era of 2022.

Mid-Level Engineers Hit Hardest

According to the WARN documents, the layoffs affected software engineers at different levels, but mid-level engineers (SDE II) were particularly hard hit.

Additionally, over 500 product managers and project managers were laid off, accounting for more than 10% of the known total layoffs. The documents also indicate that senior managers and C-level positions were not spared.

Meanwhile, the rise of AI technology is also reshaping the software development job market.

As companies like Cursor, OpenAI, and Cognition launch AI programming assistants, the difficulty of securing software development positions is increasing. Notably, Amazon itself has released a competing product called Kiro.

Although Amazon officials downplay the direct role of AI in the layoffs, artificial intelligence is undoubtedly an undeniable variable behind this organizational adjustment.

The company has clearly stated that it is reallocating resources to increase investment in the field of artificial intelligence, and CEO Jassy predicted as early as June that the number of corporate employees would decrease in the coming years as AI brings efficiency improvements.

HR head Beth Galetti's memo also directly linked organizational streamlining to the innovation speed of the AI era, stating:

This generation of AI is the most transformative technology we have seen since the internet, enabling companies to innovate at an unprecedented speed.

Significant Shrinkage in Gaming and Advertising Business

Additionally, Amazon's video game department has also become a key target of this round of layoffs.

Steve Boom, the vice president responsible for audio, Twitch, and gaming business, informed employees in an internal memo that there will be "significant position reductions" at the gaming studios in San Diego and Irvine, as well as the central distribution team. Documents show that game designers, artists, and producers account for more than a quarter of the total number of employees at Irvine, and approximately 11% at the San Diego office.

Boom wrote in a memo that the company is halting most of its large-budget "AAA" game development work, particularly for massive multiplayer online games (MMOs). Amazon has previously released MMO games such as "Crucible" and "New World," and is also developing an MMO game based on "The Lord of the Rings."

The online advertising business is one of Amazon's largest profit centers and is also facing layoffs. Documents indicate that over 140 advertising sales and marketing positions in the New York office have been eliminated, accounting for about 20% of the 760 positions cut in that location.

AI Search Team Downsizing

Several employees posted on LinkedIn that Amazon's visual search and shopping team has also been significantly reduced.

This department is responsible for AI shopping tools such as Amazon Lens and Lens Live, which allow users to find products in real-time through their camera or search images saved on their devices.

The company just launched Lens Live in September, and the team is primarily based in Palo Alto, California.

Amazon's WARN documents indicate that software engineers, applied scientists, and quality assurance engineers at the local office have been severely impacted