Amazon’s latest workforce reduction targets the very team chasing one of Silicon Valley’s most elusive goals. On Wednesday, the company eliminated positions inside its artificial general intelligence division, continuing a year defined by rolling layoffs.
The cuts arrive at a moment when the entire tech industry funnels billions into AGI development. Unlike narrow AI tools that handle specific tasks, an AGI system would reason, learn, and act independently across any domain. Multiple tech giants race to build such a system, betting it will unlock solutions to problems science has not yet cracked.
An Amazon spokesperson confirmed the restructuring after Reuters asked about the shakeup. “We’ve been building large AI models for several years, and it remains one of the most important things we’re working on,” the spokesperson said. “We’re sharpening our focus on the initiatives that matter most for customers, so we can shift quicker on what counts. That focus means some difficult decisions, including eliminating some roles within parts of our AGI organization.”
Leadership departures foreshadowed Wednesday’s move. Rohit Prasad, a senior executive who oversaw AGI efforts, exited late last year. David Luan, who ran the AGI Lab, followed him out the door in February. In December, Amazon folded the remaining AGI work into a broader unit under Senior Vice President Peter DeSantis. That unit also houses silicon engineering and quantum computing projects.
Employees working under two vice presidents, Adeeb Shanaa of AGI data services and Vishal Sharma of AGI information, posted on online forums that the layoffs affected their teams. The total number of roles cut remained unclear as the day unfolded.
This latest reduction follows a much larger sweep in January, when the company slashed roughly 16,000 jobs across its entire operation. The pattern signals Amazon’s willingness to protect its AGI ambitions while ruthlessly pruning staff in specific areas the company deems less critical. As the race for artificial general intelligence intensifies, the pressure to deliver breakthroughs only grows sharper.
