Job Cut: Google Announces Layoff of 10% of Employees to Boost Efficiency

In a major development, Google has announced a plan to lay off 10% of its workforce as part of efforts to increase the company's efficiency and stay competitive in the rapidly growing AI sector. The layoffs are primarily targeting employees in managerial positions, including directors and vice presidents.

Reason for the Layoffs:

The move comes as part of Google’s strategy to reduce losses and refocus its resources on expanding AI-based IT products. Experts suggest that the increasing demand for generative AI has led to a significant decline in interest for some of Google’s traditional products. Furthermore, Google’s AI platform, Gemini, has not performed as expected, which has impacted the company’s profits. This is part of a larger trend in the IT industry, where companies that are not keeping pace with the development of generative AI products are facing profit declines, raising concerns about a potential recession in the tech sector.

AI and Google's Future:

In response, Google is pushing forward with its AI initiatives, particularly the introduction of its new image generation platform, Whisk. This tool is expected to be a key player in the company's efforts to regain its competitive edge. As the tech industry races to develop more AI products, Google aims to solidify its position by adapting to the shifting demands of the market.

Googleyness and Company Culture:

Google CEO Sundar Pichai has explained that the layoffs are necessary to preserve the company’s culture, often referred to as "Googleyness," and to ensure Google remains agile in the face of modern challenges. Pichai stressed that these changes are essential for adapting to the growing prominence of AI and for keeping Google ahead in the competition with AI-focused companies. The layoffs are part of a broader reshaping of the company’s policies and structure to face the evolving landscape in the tech world.