Hyderabad: Layoffs in the tech world just keep coming, with companies blaming economic jitters and turning to AI as a way to cut costs and stay ahead.
Since the start of 2025, about 130 tech companies have let go of roughly 61,000 workers around the globe. Microsoft made the biggest splash, cutting 6,000 jobs on May 13. The company says it’s part of a plan to stay flexible and keep up with a fast-changing market.
Google and Amazon have also made cuts this month, adding to the growing list of firms trimming their teams. Google let go of 200 employees worldwide, citing the need to revamp its operations and improve customer experience. Amazon, in its ongoing effort to streamline, trimmed 100 positions.
The job cuts aren’t limited to tech. U.S. retail behemoth Walmart is reportedly set to eliminate about 1,500 roles to tighten its spending.
What’s fueling this wave of layoffs? A major factor seems to be the rise of AI. In a revealing twist, about 40% of Microsoft’s recent job cuts in Washington state hit software engineering roles – some held by employees who were recently moved to AI-focused projects. In other words, some workers may have helped build the very tools that are now replacing them.
Understandably, this trend is making many tech professionals uneasy. The idea of “training your replacement” has taken on a whole new meaning. Microsoft CEO Satya Nadella recently stated that AI now handles roughly a third of the company’s coding work – a stark indicator of how automation is reshaping the future of tech jobs.