Amazon has cut jobs in its artificial general intelligence division, the company confirmed on 22 July, 2026, in the newest wave of targeted reductions aimed at tightening focus on key AI initiatives.
The move follows a larger round of 16,000 companywide layoffs in January 2026. Amazon did not reveal how many employees in the AGI group were impacted but stated the changes were necessary to move faster on projects most critical to customers.
An Amazon spokesman revealed that they have been concentrating on building large AI models for several years, and since it has remained one of their top priorities, they need to eliminate some roles within parts of their AGI organisation.
‘Artificial general intelligence’ refers to AI systems designed to surpass human intelligence and operate independently — an area where Amazon, along with rivals, is investing billions. The company continues to push its Nova foundation models and expand generative AI tools across AWS, retail, and devices.
The AGI reorganisation comes after major leadership shifts. In December, AGI work was consolidated under senior vice president Peter DeSantis. Former AGI leads Rohit Prasad and David Luan departed late last year and in February this year, respectively. Reports on 22 July, 2026, indicated teams led by VPs Adeeb Shanaa and Vishal Sharma saw reductions.
Affected US employees will get 90 days of pay and benefits, outplacement support, transitional healthcare, and severance options.
Despite the cuts, Amazon reiterated its commitment to AI, calling the decision part of a strategic realignment to fund initiatives with the biggest impact, even as it increases spending on AI infrastructure.
