Amazon Lays Off 100 Employees in Devices Division Amid Cost-Cutting Drive

 

 

Amazon has laid off approximately 100 employees from its Devices and Services division, which oversees products like Echo, Fire TV, and Ring. The Amazon layoffs 2025 are part of an ongoing evaluation and restructuring effort within the company’s hardware-focused businesses. While Amazon did not reveal which specific teams were most affected, the job cuts target roles related to smart home devices, AI development, and consumer electronics. 

 

The move follows a growing trend across the tech industry, where companies are scaling back hardware investments in response to market saturation, rising R&D costs, and shifts in consumer demand.

Amazon cited “regular business reviews” and a need to streamline operations to ensure long-term sustainability and innovation in core product lines. The company also aims to focus resources more efficiently, particularly in areas expected to generate higher returns such as generative AI, cloud services, and advertising technology.

This latest round of Amazon device division layoffs follows earlier job reductions in the Alexa voice assistant unit in 2023, where hundreds of roles were reportedly cut due to sluggish adoption of Alexa-related monetization strategies. Despite Amazon's dominance in the smart speaker market, Alexa revenue generation has lagged, prompting reallocation of resources toward more promising ventures.

Industry analysts suggest that consumer interest in smart home technology has plateaued, and Amazon may be pivoting from hardware-heavy investments toward software, services, and AI integration, especially amid the rise of generative AI assistants from competitors like Google and OpenAI.