The layoffs, which began last week, are not yet complete, with Pichai indicating more "role eliminations" are forthcoming. However, he assured that the scale will not match the 2023 cuts, which impacted 12,000 jobs. Analysts suggest that Google's cuts could signal a trend among tech firms to initiate cost-saving measures to fund investments in new technologies like generative AI.
Key takeaways:
- Google has cut hundreds of jobs in its advertising sales division as part of a wider workforce reduction to invest in the company’s “big priorities,” according to CEO Sundar Pichai.
- More than 1,000 roles have been eliminated across multiple divisions, including engineering, Google Assistant, hardware devices, and YouTube operations and creator management.
- Google's advances in AI, particularly in ad products like Demand Gen and Performance Max, are thought to be a contributing factor behind the consolidation as they require less human input.
- CEO Sundar Pichai has warned employees that more “role eliminations” are to come, but promised layoffs will not meet the scale of 2023’s cuts, which impacted 12,000 jobs.