Google is reportedly trimming jobs in its rapidly expanding cloud business segment. According to CNBC, Alphabet, Google’s parent company, is streamlining its workforce in various teams within the Google Cloud unit. The company recently notified employees about the reduction in the Cloud team, affecting roles in sales, consulting, strategy, operations, and engineering. Sources familiar with the matter mentioned that at least 100 positions have been eliminated.
A Google spokesperson explained that the job cuts are part of an incremental adjustment to align the go-to-market organization with customer priorities and future opportunities. Despite the layoffs, Google remains committed to investing in essential areas crucial for its ongoing success. The recent rounds of job cuts are part of a broader restructuring initiative announced earlier this year.
In an internal note, it was revealed that some of the affected employees were involved in organizing Google Cloud Next, an annual event held in mid-April. CEO Sundar Pichai previously indicated that more layoffs could be expected in the second half of the year. Nevertheless, Google’s cloud business reported $40 billion in annual revenue, contributing significantly to the company’s overall strong first-quarter results.
Alphabet reported a 15% year-on-year increase in first-quarter revenue, reaching $80.54 billion. Sundar Pichai attributed this growth to the company’s strengths in search, YouTube, and Google Cloud. He emphasized Google’s focus on AI research, infrastructure, and global product offerings, positioning the company for future innovation in the AI sector.
The continuous evolution of Google’s business reflects its commitment to meeting customer needs and maintaining competitiveness in the digital landscape. Despite the recent job cuts, Google remains optimistic about its future prospects and ongoing efforts to drive innovation across its various business segments.
