Google Lays Off Hundreds in Cloud Design Teams Amid AI Push

American tech giant Google has carried out another round of layoffs, cutting hundreds of jobs in its cloud division as part of its broader push to prioritize artificial intelligence (AI) and cut costs.

Teams Affected

According to a CNBC report, the layoffs have disproportionately affected:

• Quantitative User Experience Research team
• Platform and Service Experience team

These units are responsible for analyzing user behavior, conducting surveys, and feeding research into product development. Reports suggest that in some cases, Google has reduced cloud design teams by half. The majority of job cuts have taken place in the United States, with affected employees given until December 2025 to find new roles.

Reason Behind the Layoffs

The move reflects Google’s strategic pivot toward AI integration across its services. Since early 2025, the company has been offering voluntary retirement packages in its US-based divisions. Smaller team managers and roles deemed less aligned with AI goals are being eliminated.

Layoffs and buyouts have also impacted several other verticals in recent months, including:

• Human Resources
• Hardware
• Ads
• Search
• Finance
• Commerce

Sundar Pichai’s Warning

Google CEO Sundar Pichai has consistently warned staff that the company needs to become “more efficient than ever as we scale up.” His remarks now appear to be a clear precursor to these layoffs, highlighting efficiency and AI integration as top corporate priorities.

Wider Industry Context

The layoffs at Google add to a wave of global tech job cuts:

• Microsoft laid off around 9,000 employees in July 2025.
• Meta has been executing phased layoffs since 2023.
• In India, TCS announced around 12,000 job cuts this year, nearly 2% of its workforce.

Google’s heavy investments in AI infrastructure are aimed at keeping it ahead of rivals such as Microsoft and Meta, even if it means reshaping its workforce drastically.