What to Expect: Tech Layoffs in 2026

Peter Sayer
16 Min Read

Despite backing from the new U.S. administration, tech firms continued workforce reductions in 2025 and 2026. Discover a refreshed timeline of significant job cuts and the underlying causes of disruption in Big Tech.

Layoffs, tech layoffs
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A key driver behind the surge in tech sector layoffs in 2026 is the rapid advancement of Artificial Intelligence (AI) and automation. Companies are restructuring their workforces, leveraging AI to boost efficiency and lower operational expenses. This strategic re-evaluation and scaling down often occurs even within organizations demonstrating robust financial health.

However, technological shifts aren’t the sole cause of these workforce reductions. Persistent economic instability, inflationary pressures, and elevated interest rates are also compelling companies to trim costs and streamline operations for greater efficacy.

Data compiled by Layoffs.fyi, an online resource monitoring job losses in the technology industry, reveals that 123,941 tech professionals were let go across 269 companies in 2025. The site further reports that the Department of Government Employees (DOGE) alone cut 71,981 government positions, contributing to a total of 182,528 federal worker layoffs.

Below is a regularly updated compendium of some of the most notable technology layoffs experienced by the industry recently.

Technology Workforce Reductions in 2026

  • Oracle
  • Amazon
  • Ericsson
  • Meta

January 30, 2026: Oracle Considers Cutting Up to 30,000 Roles to Finance AI Data Center Expansion Amid U.S. Bank Retreat

Oracle is reportedly contemplating a reduction of 20,000 to 30,000 jobs and divesting certain operations, as U.S. banks scale back their financing for the company’s AI data center expansion, according to investment bank TD Cowen. These job cuts could generate $8 billion to $10 billion in cash flow.

January 23, 2026: Amazon Job Cuts Anticipated to Heavily Affect AWS and Tech Professionals

With market growth decelerating, AWS and other Amazon divisions are preparing for another wave of layoffs, primarily impacting technical staff. An email from HR leader Beth Galetti on January 28 confirmed 16,000 job eliminations.

January 15, 2026: Ericsson Set to Eliminate 1,600 Positions in Sweden

Ericsson, the telecommunications equipment manufacturer, intends to reduce its Swedish workforce by approximately 1,600 employees, further intensifying recent cost-cutting initiatives designed to navigate a prolonged slump in telecom spending, Reuters reports.

January 13, 2026: Meta Intends to Reduce Reality Labs Workforce by Approximately 10%

Meta is planning to cut about 10 percent of the staff within its Reality Labs division, which focuses on products like the metaverse, according to three individuals with knowledge of internal discussions, as reported by The New York Times.

January 8, 2026: Kaseya Reduces Workforce by Dozens Amid Business Reorganization

Kaseya announced a 5% reduction in its global workforce, amounting to roughly 250 employees, according to CRN. The company stated this move is part of redesigning its go-to-market strategy to better serve partners through “intelligent, customer-led execution and clearer customer segmentation.”

January 5, 2026: Multiverse Cuts Dozens of Positions Amid Expanding Losses

London-based edtech firm Multiverse eliminated dozens of jobs as its financial losses grew, as indicated by company filings, Sifted reports.

Workforce Reductions in 2025

  • Cisco
  • Oracle
  • Windsurf
  • Intel
  • Microsoft
  • Crowdstrike
  • HPE
  • Autodesk
  • HPE
  • CISA
  • Workday
  • Salesforce
  • Meta

October 28, 2025: Amazon to Eliminate 14,000 Roles Company-Wide

Amazon will reduce its total workforce by 14,000 employees, streamlining management layers throughout the organization while still expanding hiring in specific strategic areas to bolster its “biggest bets.”

August 18, 2025: Cisco and Oracle Announce Hundreds of Bay Area Job Reductions

Technology giants Cisco and Oracle are slashing hundreds of jobs across the Bay Area. Cisco will cut 221 positions at its Milpitas and San Francisco offices, effective October 13. Oracle is reducing 101 roles in Santa Clara on the same date.

August 5, 2025: Cognition Extends Buyouts to Windsurf Staff Three Weeks Post-Acquisition

Cognition, the AI coding startup that recently acquired competitor Windsurf, laid off 30 employees last week and is now providing buyout offers to the approximately 200 remaining team members, The Information reports.

July 25, 2025: Intel to Cut 22% of Workforce, CEO Tan Emphasizes Fiscal Discipline

Intel plans to reduce its workforce to 75,000 employees by the close of 2025 as new CEO Lip-Bu Tan implements comprehensive changes aimed at revitalizing the struggling chipmaker.

July 8, 2025: Intel Begins Massive Layoffs, Thousands of Jobs to Be Eliminated

Intel has commenced workforce reductions across the company. CEO Lip-Bu Tan informed employees in April to anticipate significant layoffs at Intel in the coming months, as the chipmaker seeks to reduce costs and overhaul its structure following years of technical setbacks and declining sales.

July 2, 2025: Microsoft to Dismiss 9,000 Employees

Microsoft will lay off approximately 9,000 employees, a source familiar with the workforce reduction informed CNBC. The cuts are expected to impact less than 4% of Microsoft’s global workforce, affecting various teams, geographies, and experience levels. This represents the latest in a series of reductions made by the tech giant this year.

June 17, 2025: Intel Pursues Factory Layoffs in Bid for Profitability

Intel plans to reduce its manufacturing sector workforce by up to 20% starting in July, according to media reports, as the company explores options to regain profitability. The cuts are expected globally, but some layoffs will occur domestically, as per a report in The Oregonian citing an internal company memo from Intel manufacturing Vice President Naga Chandrasekaran.

May 7, 2025: CrowdStrike to Reduce Staff by 5%

CrowdStrike announced plans to eliminate approximately 500 roles, representing about 5% of its workforce, in an effort to optimize operations and decrease costs. The cybersecurity company anticipates incurring charges of $36 million to $53 million related to these layoffs.

March 6, 2025: HPE Cuts 2,500 Jobs, Affirms Commitment to Juniper Acquisition

CEO Antonio Neri informed Wall Street analysts that HPE would initiate a cost-reduction program involving the layoff of approximately 2,500 employees over the next 18 months. HPE currently employs around 61,000 individuals globally.

Feb. 27, 2025: Autodesk to Reduce Workforce by 9%

Software developer Autodesk is letting go of 1,350 employees. Due to the increasing adoption of subscription and multi-year contracts billed annually, alongside enhanced self-service options, the company requires fewer sales staff, CEO Andrew Anagnost stated in a message to employees. With its cloud, platform, and AI products proving most lucrative, Autodesk is concentrating its personnel and investments in these areas.

Feb. 27, 2025: HP Announces Additional 2,000 Job Cuts

As part of an ongoing reorganization, HP plans to dismiss up to an additional 2,000 workers. In recent weeks, the company attempted — unsuccessfully — to phase out telephone support staff by mandating callers to wait for at least 15 minutes if they opted not to use online self-service resources. Although the company quickly reversed this policy, broader job reductions are still underway.

Feb. 21, 2025: CISA Dismisses 130 Employees

Government employees are also subject to layoffs: In this instance, 130 workers at the U.S. Cybersecurity and Infrastructure Security Agency are being let go following a decision by DOGE. Cybersecurity experts are concerned these cuts could impair the international collaborations CISA has cultivated, in addition to raising questions about the security of the DOGE layoff process itself.

Feb. 5, 2025: Workday Lays Off 1,750 Employees

As part of its strategy to boost investment in AI and global expansion, Workday is reducing its workforce by 8.5% and divesting unused office space. Some analysts worry that these cutbacks might impact the company’s customer service, unless AI can effectively fill the gap.

Feb. 4, 2025: Salesforce Reduces Staff by Over 1,000

Concurrently with recruiting sales personnel for its new artificial intelligence offerings, Salesforce is laying off more than 1,000 employees across the company, according to Bloomberg. As of June 2024, the company listed over 72,000 employees on its website. Salesforce did not comment on the report. In 2024, the company reportedly also laid off around 1,000 staff in two distinct phases: January and July.

Jan. 14, 2025: Meta to Reduce Workforce by 5%

Mark Zuckerberg informed Meta employees of his intention to “accelerate the exit of low performers” in an internal memo, as reported by Bloomberg. The memo announced that the company would lay off 5% of its staff, roughly 3,600 individuals, commencing February 10. The company had already decreased its headcount by 5% in 2024 through natural attrition, the memo stated. Among those departing will be staff previously responsible for fact-checking content on its U.S. social media platforms, as the company transitions to relying on user moderation for content policing.

Tech Sector Job Cuts in 2024

  • Equinix
  • AMD
  • Freshworks
  • Cisco
  • General Motors
  • Intel
  • OpenText
  • Microsoft
  • AWS
  • Dell

Nov. 26, 2024: Equinix to Cut 3% of Staff

Despite robust demand for its data center capacity, Equinix plans to reduce its workforce by 3%, affecting approximately 400 employees. This announcement followed Adaire Fox-Martin’s appointment as CEO, replacing Charles Meyers, and the departures of two other senior executives, CIO Milind Wagle and CISO Michael Montoya.

Nov. 13, 2024: AMD to Reduce Workforce by 4%

AMD announced it would lay off approximately 1,000 employees as it shifts its focus towards developing AI-centric chips. This decision surprised staff, given the company had also reported strong quarterly earnings.

Nov. 7, 2024: Freshworks Lays Off 660 Employees

Enterprise software vendor Freshworks dismissed approximately 660 staff, or about 13% of its total headcount, despite reporting increased revenue and profits in its fourth fiscal quarter. The company characterized the layoffs as a strategic realignment of its global workforce.

Sept. 17, 2024: Cisco Lays Off 6,000 Employees

Following a reduction of approximately 4,200 staff in February, Cisco has again cut jobs, laying off another 6,000 employees, roughly 7% of its workforce. The affected divisions included its threat intelligence unit, Talos Security.

Aug. 20, 2024: General Motors Lays Off 1,000 Software Staff

More than 1,000 software and services employees are being let go at General Motors, indicating a potential re-evaluation of its digital transformation strategy. In an internal memo, the company stated it was reallocating resources to its top-priority projects and flattening organizational hierarchies.

August 1, 2024: Intel Eliminates 15,000 Positions

Intel intends to reduce its workforce by approximately 15% to mitigate costs following a challenging second quarter. Revenue for the three months ending June 29 stagnated at around $12.8 billion, yet net income plummeted 85% to $83 million. This prompted CEO Pat Gelsinger to expedite a company-wide meeting to announce that 15,000 staff members would lose their jobs. “This is an incredibly difficult day for Intel as we are enacting some of the most significant changes in our company’s history,” Gelsinger wrote in an email to staff, adding: “Our revenues have not grown as anticipated — and we have yet to fully capitalize on powerful trends, such as AI. Our costs are excessive, and our margins are too low. We must take bolder action to address both — especially considering our financial results and the outlook for the latter half of 2024, which is tougher than previously forecast.”

July 4, 2024: OpenText to Lay Off 1,200

OpenText announced it would lay off 1,200 employees, representing about 1.7% of its workforce, in a move to achieve approximately $100 million in annual savings. The company plans to hire new sales and engineering personnel in other divisions in 2025, it stated.

June 4, 2024: Microsoft Cuts Staff in Azure Division

Microsoft dismissed employees across several teams supporting its cloud services, including Azure for Operations and Mission Engineering. The company did not disclose the exact number of departing staff.

April 4, 2024: Amazon Streamlines AWS in Latest Cost-Cutting Effort

Amazon announced hundreds of layoffs within the sales and marketing teams of its AWS cloud services division — and also in the technology development teams for its physical retail stores, as it scaled back efforts to generalize the “Just Walk Out” technology originally developed for its Amazon Fresh grocery stores.

April 1, 2024: Dell Confirms 13,000 Job Eliminations

Dell Technologies’ latest 10K filing with the U.S. Securities and Exchange Commission revealed that the company had laid off 13,000 employees over the course of the 2023 fiscal year; these layoffs and other organizational adjustments were characterized as cost-cutting measures. “These actions resulted in a reduction in our overall headcount,” the company stated. A comparison to the previous year’s 10K filing, conducted by The Register, indicated that Dell employed 133,000 people at that point, compared to 120,000 as of February 2024. Dell announced layoffs of 6,650 staffers on February 6, but it remains unclear whether those cuts were included in the numbers from this year’s 10K statement.

Refer to news of prior layoffs.

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