AI will reshape and reduce Amazon’s corporate workforce. But this is more than another cost-cutting move. It’s a new phase in a multi-year effort to remake the company from the inside out. The process began when Jassy took over Amazon founder Jeff Bezos’ empire nearly four years ago.

Amazon is currently using AI to optimize inventory in its fulfillment network, upgrade its customer service chatbot and improve product detail pages.

In a memo to employees, Andy Jassy said that generative AI and agentic AI will see Amazon cutting the number of people it employs.