Since the beginning of 2026, more than 124,000 employees have lost their jobs in the global technology sector. This figure has already exceeded the total number of layoffs recorded throughout the previous year. According to data from the Layoffs.fyi service, IT companies reduced their workforce by approximately 122,000 employees in 2025. The information was reported by Ixbt.com.
Experts say the situation reflects major structural changes taking place in the global technology market. The largest workforce reductions have been announced by Oracle, Amazon, and Dell, with each company planning to cut thousands of jobs.
Artificial Intelligence Growth and Major Technology Shifts
The new wave of layoffs comes at a time of unprecedented investment in artificial intelligence (AI). Major technology companies are directing billions of dollars toward building data centers, purchasing powerful AI hardware, and integrating artificial intelligence into their products.
For example, Oracle plans to invest around 90 billion dollars in artificial intelligence development during the next financial year. Amazon is also continuing to invest tens and hundreds of billions of dollars into AI-related infrastructure.
Reasons Behind Layoffs and the Future of the Labor Market
However, companies themselves do not attribute workforce reductions solely to the growth of artificial intelligence. Among the main reasons cited are excessive hiring during the COVID-19 pandemic and the ongoing need to optimize organizational structures.
According to research by PricewaterhouseCoopers (PwC), artificial intelligence may reduce some jobs in the long term but can also create new employment opportunities. Companies actively adopting AI continue to hire employees faster than organizations that are slower to implement the technology.
A clear example is San Francisco, one of the world’s leading centers of the artificial intelligence industry. Despite major layoffs in the technology sector, the city’s unemployment rate has fallen to 3.7%, supported by continued hiring from companies such as OpenAI and Anthropic.
Experts note that the current situation represents not only job reductions but also the emergence of new professions, skills, and career opportunities within the technology industry.
«THE ASHGABAT TIMES».
