40,000 Tech Layoffs: Amazon Vs. Google Vs. Microsoft
CRN breaks down the who, where and why regarding Amazon’s 18,000, Google’s 12,000, and Microsoft’s 10,000 layoff rounds.
In January alone, Amazon announced 18,000 employees layoffs, Microsoft unveiled 10,000 employees will be terminated, and Google said it will cut 12,000 employees.
Amazon CEO Andy Jassy, Microsoft CEO Satya Nadella and Google CEO Sundar Pichai all blamed the massive layoffs on hiring too many people over the past several years as IT demand skyrocketed due to the COVID-19 pandemic, while citing a customer spending slowdown in the current market.
The follow-up questions become: who, when, where and why? And how much impact will these layoffs have inside these companies’ technology businesses such as Amazon Web Services (AWS), Google Cloud and Microsoft Azure?
CRN breaks down these answers as well as the boldest remarks from each company’s CEO.
[Related: AWS Not Impacted By Amazon’s 18,000 Layoffs]
IT Layoffs Happening Everywhere
Of course, these the three tech giants aren’t the only ones being hit with layoffs. A slew of other IT companies announced large layoffs in recent months.
This month, Cloud Software Group—the parent company of Citrix and Tibco—confirmed it was laying off 15 percent of its total workforce, or around 2,000 employees.
Other large IT companies that announced layoffs this month include big data standout Informatica, which will terminate 7 percent of its workforce or 450 employees, as well as cloud communications provider 8x8, which will lay off 155 employees or approximately 7 percent of its total workforce.
IT layoffs started affecting technology companies of all shapes and sizes in late 2022. Tech companies like Cisco, Salesforce, HP Inc., Intel, Elastic, Aqua Security, AvePoint and N-able have all announced layoffs in 2022.
Here are five important things to know the technology layoffs at Amazon and AWS, Google and Google Cloud, and Microsoft that all customers and partners should know.