Amazon has more than 1,000 generative AI applications built or in the works, which will reduce the number of employees Amazon needs, CEO Andy Jassy says.
Amazon is pouring money into artificial intelligence, and its investments are starting to take shape. CEO Andy Jassy detailed a few in his recent message to employees:
- Amazon’s AI advertising tools allow marketers to plan, onboard, create and optimize campaigns. In Q1 2025, 50,000 advertisers used these capabilities.
- About 500,000 of Amazon’s marketplace sellers have used AI to create new product detail pages or received advice on more effective selling.
- Tens of millions of shoppers have used Amazon’s AI shopping assistant on its website.
- Amazon’s customer service chatbot now uses generative AI.
- Amazon’s personal assistant Alexa systems (once only voice-activated on smart speakers) is now “Alexa+.” Using agentic AI, Alexa+ can complete tasks across the internet, such as can make dinner reservations and order groceries.
Amazon is deploying AI into every facet of its businesses. Amazon says it has more than 1,000 generative AI services and applications built or in progress, but that is only a small fraction of what it will one day build.
Every company in every industry will have generative AI agents, totaling billions, which is why Amazon is investing so much so early, Jassy said. While billions of AI agents won’t appear within the next year, it won’t take 10 years for this to happen, Jassy said in Amazon’s 2024 letter to shareholders published in April 2025.
“[AI is] moving faster than almost anything technology has ever seen,” Jassy said.
What AI means for the future of Amazon’s workforce
But the flip side to this productivity is the human workers it is replacing. In his June letter, Jassy said generative AI and agents will change how Amazon’s work is done, and as such, it will need fewer employees.
“We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs,” Jassy said. “In the next few years, we expect that this will reduce our total corporate workforce as we get efficiency gains from using AI extensively across the company.”
Amazon employed roughly 1.6 million full-time and part-time employees in 2024, according to its 2024 annual report. Based on employee estimates from StockAnalysis.com, Amazon is one of the U.S.’s largest employers, along with Walmart, FedEx, Target and Marriott.
News outlets recently reported that Amazon cut at least 100 jobs in its Amazon Web Service cloud computing unity in July.
Many retailers have also invested in generative AI, but have yet to go on record saying that AI will reduce employee headcount. Most have just stated that it will change how they work.
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