Amazon.com
has cut more employees, this time in its Alexa division, as the tech company works to bring down costs.
Amazon
(ticker: AMZN) said Friday in a memo to employees that was sent to Barron’s that it was eliminating “several hundred roles” in its Alexa division as it shifts to focus more on generative artificial intelligence.
“We’re shifting some of our efforts to better align with our business priorities, and what we know matters most to customers—which includes maximizing our resources and efforts focused on generative AI,” the memo said. These shifts include the discontinuation of certain initiatives, which
Amazon
didn’t specify, but would lead to layoffs.
Amazon announced in September that it was upgrading Alexa with AI technology so it can converse more like a human with users.
The job cuts announced Friday weren’t the first Amazon has announced this year. Chief Executive Andrew Jassy announced several job elimination initiatives in an effort to reign in costs as the broader economic environment remains challenging. This includes cuts in January, when Amazon announced reductions of 18,000 people, and March, when 9,000 additional layoffs were announced.
Shares of Amazon were rising 0.9% Friday to $144.18. The stock has jumped 72% this year.
Write to Angela Palumbo at angela.palumbo@dowjones.com
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