Why is Workday cutting 400 jobs?

Workday is cutting approximately 400 jobs, impacting 2% of its workforce, to better invest in priority areas and focusing reductions on customer-facing roles that are non-revenue generating.

How much is Alphabet investing in AI?

Alphabet is planning capital expenditures of up to $185 billion this year, a significant increase to build out the data centers and infrastructure needed for AI leadership.

How are Alphabet's AI investments impacting its business?

Alphabet's CEO stated that its AI investments and infrastructure are driving revenue and growth across the board, with search usage reaching new highs and Google Cloud revenue exceeding expectations.

Home / Business and Economy / Workday Slashes 400 Jobs Amid AI Shift

Workday Slashes 400 Jobs Amid AI Shift

5 Feb

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Summary

Workday cuts 400 jobs, affecting 2% of its workforce.
Alphabet plans $185 billion in capital expenditures for AI infrastructure.
Google's AI investments are driving revenue across its services.

Workday Inc. announced it is cutting about 400 jobs, a move impacting roughly 2% of its workforce. The reductions will focus on customer-facing roles deemed non-revenue generating. This strategic adjustment aims to enable better investment in priority areas for the software company.

The company anticipates these job cuts will result in approximately $135 million in charges during the fiscal fourth quarter, which concluded in January. This follows a similar workforce reduction a year prior, also cited as a necessity for hiring in strategic sectors like artificial intelligence.

In parallel, Alphabet is making substantial investments in AI, projecting capital expenditures of up to $185 billion for the current year. This aggressive spending plan far surpasses analyst expectations and is intended to build the necessary data centers and infrastructure to maintain leadership in the AI era.