Alphabet’s Google cuts off the staff in the cloud department

(Bloomberg) – Google has been at Alphabet Inc. On Wednesday, he reduced employees in the cloud department, according to the people familiar with the matter.

Most of them read from Bloomberg

The discounts affected less than 100 people working in sales operations and were aiming to invest free resources in business and artificial intelligence, according to one of the people, who asked not to be recognized because this step was not announced publicly. A Google spokesman said in a statement that the company continues to make adjustments to “meet the needs of our customers and a great opportunity in the future.”

“With the teams throughout the company, we are making changes to continue investing in areas that are decisive to our business and ensuring our long -term success,” the spokesman said.

The reduction comes in the wake of the slower growth of Google cloud business, as well as huge spending that aims to support the technology giant ambitions in artificial intelligence. Earlier this month, Alphabet missed the revenue of the analysts to Cloud, and its directives for the 2025 capitalist expenditures also exceeded expectations.

Google discounts are followed in the previous movements, and the smallest movements by the company to reduce their size. In late January, 9to5google mentioned for the first time, the company announced a “volunteer exit program” for employees working in its platform unit and its devices – a group of employees from the Pixel Devices Department and the Android Programs Department that was merged in 2024 in one team. During the year 2024, Google slowly stretching through the company, as it went through the reorganization unit, according to the unit.

The cloud layoffs come as the execution of the technology industry for its working rules has become record in a new year. Amazon.com Inc. And Meta Platforms Inc. And Salesforce Inc. And Microsoft Corp. Among those who said they will reduce employees who suffer from poor performance or seek to employ cheaper international workers. Companies are under investment in artificial intelligence technologies without risking profits.

Google Cloud, which is one of the best stake in the company, is still a major investment field. During the company’s profit call in February, the financial manager in the alphabet, Anat Ashnazi, said that the company expects “some numerical growth of the number in 2025 in the major investment fields such as artificial intelligence and cloud.”

The story continues