Big Tech layoffs continue as firms pivot to AI, automation
What's the story
Several leading US tech companies, including Amazon, Microsoft, Meta, and Intel, have announced mass layoffs throughout 2025. The decision is mainly driven by broad cost-cutting measures and a strategic shift toward artificial intelligence (AI) and automation across different sectors. Microsoft has begun its third round of job cuts this year, mainly affecting its sales team and other customer-facing roles.
Microsoft's move
Microsoft's 3rd round of layoffs this year
The latest round of layoffs follows earlier ones in May, which saw over 6,000 job losses (about 3% of its global workforce) and further cuts affecting over 300 roles weeks later. The changes are in line with Microsoft's massive investment in AI infrastructure, reportedly spending around $80 billion on data centers this fiscal year.
Information
Amazon expects more job cuts as AI takes over
Amazon CEO Andy Jassy has said that the company expects more job cuts due to the integration of generative AI technologies into its processes. In 2025 alone, 14,000 corporate roles were cut in middle management, customer service, software development, HR, and internal communications.
Intel's workforce cuts
Intel plans to cut 15-20% of jobs globally
Chipmaker Intel has also announced plans for major workforce reductions, planning to lay off 15-20% of its employees within the Intel Foundry division starting in July. This could affect over 10,000 employees globally. The move comes as part of a larger restructuring under new CEO Lip-Bu Tan after reporting an $821 million loss in Q1 2025.
Corporate changes
Meta and Walmart also continue to reduce workforce
Meta continues its restructuring efforts with major job cuts in April within its Reality Labs division. After cutting over 21,000 workers since 2022, CEO Mark Zuckerberg announced in an employee memo that Meta would cut about 5% of its workforce (some 3,600 employees) through "performance-based cuts" starting February 10, 2025. Retail giant Walmart also started corporate staff layoffs affecting under 1,500 employees, mainly in its global technology team and some advertising roles.
Additional layoffs
Other firms that announced job cuts in 2025
Along with Microsoft, Amazon, Intel, Meta, and Walmart, several other notable tech firms have also announced job cuts in 2025. Cybersecurity firm CrowdStrike plans to lay off 5% of its global workforce as part of a strategic realignment amid market volatility and rising costs. Fintech company Block cut jobs, affecting 931 employees in March after an earlier round affecting some 1,000 roles in January.