Today: 3 June 2026
Amazon confirms 16,000 layoffs after ‘Project Dawn’ email slip as AI drive deepens
28 January 2026
2 mins read

Amazon confirms 16,000 layoffs after ‘Project Dawn’ email slip as AI drive deepens

SAN FRANCISCO, Jan 28, 2026, 14:24 PST

  • Amazon said it will cut about 16,000 corporate roles, taking reductions since October to roughly 30,000.
  • An internal Amazon Web Services email referencing “Project Dawn” went out early and rattled staff.
  • The move comes as Amazon leans harder on generative AI to streamline white-collar work.

Amazon said on Wednesday it will cut about 16,000 corporate jobs, extending a restructuring that has already thinned its office ranks since October.

The new reductions matter because they land in higher-paid corporate teams, where the company is betting software can do more of the work. Generative AI — a type of artificial intelligence that can produce text, images or code — has moved fast from pilots to daily tools across big companies.

On Tuesday, Amazon also said it would close its remaining Amazon Fresh grocery stores and Go convenience markets, and drop Amazon One, a palm-scanning payment system. Staff across businesses including Amazon Web Services (AWS), Alexa and Prime Video have reported being hit, and Amazon shares were down about 2% on Wednesday ahead of results due next week.

In a note to employees, Amazon human resources chief Beth Galetti said the cuts would “impact approximately 16,000 roles” and that most U.S.-based staff would get 90 days to seek another role internally. She said the company has been “reducing layers, increasing ownership, and removing bureaucracy,” and added: “That’s not our plan,” when addressing fears of broad layoffs every few months. Amazon News

Some employees got an earlier, messier heads-up. A message signed by Colleen Aubrey, a senior vice president in AWS, appeared to tell staff in the United States, Canada and Costa Rica they had already been notified, before a team-wide meeting tied to the email was quickly cancelled. “Changes like this are hard on everyone,” Aubrey wrote, referring to the plan as “Project Dawn,” Reuters reported. Reuters

Amazon has not detailed which units will bear the brunt, but the cuts follow 14,000 jobs eliminated in October and take the total since then to about 30,000. The company employs about 1.58 million people worldwide, most in fulfilment centres and warehouses, meaning the reductions bite harder in the corporate workforce. Chief executive Andy Jassy has said he expects generative AI to shrink parts of that white-collar base over time and has framed the drive as stripping out layers and fixing culture.

In Australia, it was not immediately clear whether local staff would be affected, with one report saying the cuts were expected to fall mainly in the United States, Canada and Costa Rica. The same report noted Amazon is competing with rivals including Microsoft and Google as the AI race pushes companies to spend heavily on computing power while trying to stay lean.

Amazon is making the cuts despite recent strong financial performance, including a $21 billion profit in its most recent quarter, the Associated Press reported. The job reductions come as other big employers, including UPS and Pinterest, have also announced staffing cuts in recent days as companies reassess hiring and the impact of AI on office work.

But the picture remains muddy for employees. Amazon has not provided a breakdown by business unit or country, and Galetti left room for more “adjustments,” meaning teams could still face follow-on cuts even after this round lands.

For many workers, the next few months may come down to whether they can move inside the company before the clock runs out. Amazon has said it will keep hiring and investing in areas it deems strategic, even as it trims headcount elsewhere.

Latest articles

Snap Lags Nasdaq, Turnaround Pressure Rises

Snap Lags Nasdaq, Turnaround Pressure Rises

3 June 2026
Snap Inc. shares slid 1.5% to $5.76 Tuesday—about 45% below last July’s high—even as the broader market rose, spotlighting investor doubts about Snap’s turnaround despite first-quarter revenue growth, narrowed losses, and major cost cuts; ad growth remains sluggish and the upcoming Specs update on June 16 is seen as a key test for future revenue momentum.
INFQ back on radar after UK quantum push; shares jump

INFQ back on radar after UK quantum push; shares jump

3 June 2026
Infleqtion shares surged 12.4% to $19.87 in late New York trading after announcing Gold Sponsorship of Quantum Fringe 2026 and new U.K. quantum partnerships, as investors bet on government contracts and expanded manufacturing, despite a $30.3 million quarterly net loss and warnings of ongoing operating losses if public-sector funding slows.
Corning shares move after AI news

Corning shares move after AI news

3 June 2026
Corning soared 13.4% to $200.40 on heavy volume after Nvidia’s CEO spotlighted the need for optical links in AI data centers, with Corning’s recent Nvidia and Meta deals making it a top play on AI infrastructure; first-quarter core sales jumped 18% and optical sales surged 36%, but investors face risks from consumer electronics demand and execution on new factory expansions.
Quantum computing stocks face a holiday week after IonQ stake filing and a Rigetti downgrade

IonQ Stock Jumped Again. A Giant Quantum IPO Is Putting the Trade on Trial

3 June 2026
IonQ shares closed up 3.1% at $71.40 before slipping 1.3% after hours as traders positioned ahead of Quantinuum’s upsized IPO, which seeks up to $1.46 billion at a $14.3 billion valuation; IonQ’s Q1 revenue surged 755% to $64.7 million with a raised 2026 outlook, but a $271.5 million operating loss and guidance for continued high expenses highlight risks as Wall Street awaits new sector benchmarks.
Xos Surges After Hours as Data-Center Power Play Hits Tape

Xos Surges After Hours as Data-Center Power Play Hits Tape

3 June 2026
Xos shares soared 135.8% to $5.26 in after-hours trading after launching a 2.5MWh Power Hub for data centers facing grid delays, but the company warned of "substantial doubt" about its ability to continue as a going concern, with just $9.8 million in cash at March 31 and no large orders yet announced for the new product.
Gold price today: Bullion pushes toward $5,400 as Fed decision fails to cool the rally
Previous Story

Gold price today: Bullion pushes toward $5,400 as Fed decision fails to cool the rally

IBM stock price jumps after hours as Q4 results lift AI and 2026 outlook
Next Story

IBM stock price jumps after hours as Q4 results lift AI and 2026 outlook

Go toTop