Amazon has laid off at least hundreds of employees in its Amazon Web Services (AWS) division, following a warning from CEO Andy Jassy about workforce reductions due to the rise of generative AI. This move aligns with trends in the tech industry, where companies are increasingly automating tasks to reduce costs.

Microsoft is set to lay off several thousand employees, primarily in its sales department, as part of a restructuring aimed at optimizing its workforce while advancing its costly artificial intelligence initiatives. This move follows a previous reduction of 10,000 jobs in January 2023 and comes just before the start of the company's new fiscal year in July.

Microsoft is set to lay off approximately 9,000 workers, following the elimination of around 6,000 roles in May. This latest round of job cuts affects less than 4% of the company's global workforce and spans various levels and teams, with notable reductions in the gaming segment.

Amazon CEO Andy Jassy announced that the company's corporate workforce will decline as generative AI tools are integrated, leading to fewer employees in some roles and a shift towards different job types. The memo follows significant layoffs at Amazon and highlights the company's commitment to leveraging AI for efficiency across various operations. Jassy emphasized the need for employees to adapt by learning to utilize AI effectively.