Amazon Anticipates Laying Off Employees as AI Does More Work

Amazon’s CEO Andy Jassy stated in a recent memo to staff that as AI tools become more efficient, the company will likely reduce the number of traditional roles. He noted that fewer people will be needed for some current roles, while new types of jobs will open up in their place. 

Jassy explained that generative AI is being used extensively across Amazon’s operations. From logistics to customer service, and product development to backend systems, the technology is becoming deeply embedded in nearly every area of the business. 

The company, which employs over 1.5 million people globally, is also preparing for major investments in AI. It is set to spend around $100 billion this year on AI infrastructure, including data centers, up from $83 billion in 2024. 

The CEO also noted that the rise of “AI agents”—software tools capable of automating complex tasks—will reshape both the workplace and daily life. Although many of these agents are still in development, he stressed that their arrival is approaching fast and will significantly increase the pace of innovation at the company. 

At present, Amazon is running or developing more than a thousand AI-related tools and services internally. 

His remarks reflect growing unease in the corporate world about how AI might replace human roles, especially white-collar positions. Companies across industries are reassessing how much of their workforce is needed in an AI-driven environment. A Bloomberg Intelligence report recently projected that up to 200,000 banking roles could be lost due to AI over time. 

Crowdstrike, a cybersecurity firm, recently let go of 5% of its employees, stating that AI was enabling more efficient workflows in both customer-facing and administrative roles. Similarly, Shopify’s CEO Tobi Lutke announced that managers will now need to justify hiring requests by proving the tasks can’t be handled by AI. He noted that AI’s role in supporting and even performing work for Shopify’s merchants marks a significant leap forward. 

Duolingo, a popular language-learning app, plans to phase out contractors for tasks AI can manage. CEO Luis von Ahn told employees that headcount increases would only be approved if automation wasn’t a viable option. Over in the U.K., BT’s CEO announced plans to eliminate 40,000 jobs over the next decade, stating that the decision likely underestimates AI’s future capabilities. 

These changes reflect a growing belief among corporate leaders that AI isn’t just a tool; rather, it’s becoming a foundation for how modern businesses will operate, grow, and staff in the years ahead. 

Given the rapid pace at which tech companies like D-Wave Quantum Inc. (NYSE: QBTS) are progressing in bringing to market novel AI-powered solutions, the current estimates of the jobs likely to be lost in favor of AI could be grossly surpassed over the coming years. 

NOTE TO INVESTORS: The latest news and updates relating to D-Wave Quantum Inc. (NYSE: QBTS) are available in the company’s newsroom at https://ibn.fm/QBTS 

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