Amazon layoff continues as company cuts jobs in Studio and Prime Video Division as part of company’s effort to streamline its business. The company is firing more employees as part of the latest round of job cuts announced by CEO Andy Jassy earlier this year. The layoffs is said to affect around 100 employees, or about 1 per cent of the division’s workforce of 7,000 according media reports.
The development comes a day after the e-commerce giant cut the headcount in the company’s cloud computing and human resources divisions. Previously also Amazon job cut had hit its advertising, retail, devices and recruiting divisions.
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The CEO last month informed that Amazon would layoffs 9000 employees, which will be in addition to the 18,000 job cuts that were announced in November last well as well as one wherein an entire Alexa department was fired.
The second round of layoffs which were announced in March, including divisions like Twitch, a platform that allows creators to live stream video games and other content to viewers.
According to Ray Wang, CEO of Constellation Research, "Everyone’s tightening their budgets. This is more about adjusting for where people believe economic conditions will be."
The job cuts at Amazon come after several layoffs across the tech and entertainment sectors. Companies such as Meta, and Google have all recently trimmed their workforces. Entertainment giant, Walt Disney Co., is in the process of cutting 7,000 jobs to save $5.5 billion in costs.
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Amazon also skipped any mention of its performance in India, said the growth in its cloud computing business has slowed as companies cut back spending in a tough macroeconomic environment.
In the January-March quarter, Amazon Web Services (AWS), which accounts for a bulk of the Seattle-based company’s revenue, saw its operating income fall 21 percent year-on- year (YoY) from $6.5 billion in Q1 2022 to $5.1 billion.
Amazon has already shut units like Amazon Food in India and also announced that Amazon Academy would be closed down in a phased manner, starting in August 2023.
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