Amazon (AMZN) just announced plans to cut about 14,000 corporate jobs, with reports suggesting as many as 30,000 positions could eventually be impacted. But this isn’t a sign of trouble for everyone. It’s a clear sign of transformation.
CEO Andy Jassy explained it bluntly: “As we roll out more generative AI and agents, it should change the way our work is done. We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs.”
AWS CEO Andy Jassy (Source: AP Images)
In other words, AI isn’t coming - it’s already here. The jobs being replaced are mostly the repetitive, predictable, back-office roles that artificial intelligence can now handle faster and cheaper. For Amazon, the bulk of the cuts are hitting cofrporate positions, not warehouse or delivery workers.
The company hired aggressively during the pandemic, and now it’s recalibrating for the AI era - one where automation takes over much of the process-heavy work humans used to do.
Behind the Layoffs: Record Sales and Surging Profits
Here’s the twist: while the headlines scream “layoffs,” the numbers tell a different story. Amazon’s net sales jumped 13% in the second quarter of 2025 to $167.7 billion, and operating income climbed from $14.7 billion to $19.2 billion.
Its cloud division, Amazon Web Services (AWS), grew nearly 18% to $30.9 billion in quarterly sales. In short - the company is making more money than ever.
Amazon Warehouse Transport Robots (Source: AP Photo)
The reason is simple: AI isn’t just cutting jobs, it’s amplifying productivity. Amazon’s internal AI tools - from warehouse robots optimizing delivery routes to generative AI models that assist developers - are saving time, reducing costs, and accelerating innovation.
As Jassy put it, “Our conviction that AI will change every customer experience is starting to play out … it’s improving customer experiences, speed of innovation, operational efficiency, and business growth.”
Trade War Profits Are Back
Breaking news: China just walked away from key U.S. trade talks —
and markets are reacting fast.
Most investors see chaos… I see opportunity.
Because history shows every tariff cycle creates massive winners —
the companies positioned on the right side of the trade war.
In my latest video, I reveal the top “Tariff War” stocks set to surge as America
doubles down on manufacturing, energy, and supply-chain independence.
A Strategic Realignment
This isn’t a panic layoff. It’s a strategic realignment - fewer people doing routine work, more capital invested in automation, and higher margins across the board. For a giant like Amazon, even small productivity gains per worker can translate into hundreds of millions in profit.
The takeaway for investors is clear: this is the blueprint for the next decade. Companies that harness AI to streamline operations and scale faster will dominate their industries. Those that resist will be left behind.
Amazon isn’t shrinking - it’s evolving. And that evolution is what’s driving record earnings, soaring productivity, and the next wave of market-beating growth.
Here’s to the future,
Matt McCall
Editor, Market Insights
P.S. At NXT Core, we’re already capitalizing on this AI-powered revolution. Our AI Revolution Portfolio is up 32% - proof that investors who focus on innovation, not fear, are winning big.
If you’re not yet following these trends inside NXT Core, now’s the time to join us before the next leg higher begins.
