{"id":121605,"date":"2026-07-28T15:54:31","date_gmt":"2026-07-28T15:54:31","guid":{"rendered":"https:\/\/www.europesays.com\/ai\/121605\/"},"modified":"2026-07-28T15:54:31","modified_gmt":"2026-07-28T15:54:31","slug":"amazon-mounts-ai-reorganization-following-layoffs","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ai\/121605\/","title":{"rendered":"Amazon Mounts AI Reorganization Following Layoffs\u00a0"},"content":{"rendered":"

Amazon<\/a> is reportedly phasing out several in-house artificial intelligence (AI) models in a larger AI overhaul.<\/p>\n

The tech giant is also reorganizing teams and having engineers focus on a new strategy that involves competing at the frontier level, Business Insider reported<\/a> Tuesday (July 28), citing sources familiar with the matter.<\/p>\n

The report noted that these changes follow job cuts last week<\/a> at Amazon\u2019s Artificial General Intelligence (AGI) division and the closure of AGI Lab, a research group it launched in 2024 after hiring most of the team at AI startup Adept.<\/p>\n

Business Insider argued this restructuring indicates Amazon is refocusing its AI strategy, concentrating talent and computing resources on its largest priorities, rather than investing in text, image and video models.<\/p>\n

Sources told the news outlet that Amazon has started phasing out most of its in-house flagship Nova models, such as the high-end Premier and Omni models, Reel video-generation model, and Canvas image-generation model<\/a>.<\/p>\n

Some employees said these models are now in \u201cKTLO\u201d (\u201ckeep the lights on\u201d) mode, an engineering term for software that still supports existing customers but is not considered a chief development priority, the Business Insider report added.<\/p>\n

According to the publication\u2019s sources, Amazon is shifting resources from its Nova models and toward a new frontier-model effort overseen by researcher Pieter Abbeel<\/a>, who joined Amazon when it acquired Covariant, the AI robotics startup he helped found.<\/p>\n

In a statement provided to PYMNTS, Amazon said it continues to invest and support the Nova models, including Nova Forge, which allows businesses to build their own models.<\/p>\n

\u201cAs with any AI portfolio, we continually evolve our model lineup based on what customers need, and we always provide customers clear guidance and migration paths as models advance,\u201d the company said. \u201cWe generally support our models in production for extended periods because this is important to our customers. We\u2019re also investing in the next generation of frontier model research, and Amazon\u2019s commitment to building advanced AI models is as strong as it\u2019s ever been.\u201d<\/p>\n

The news follows a report from Reuters last week that Amazon founder Jeff Bezos was calling for a revamp of the Prime Video streaming service<\/a> to offer users a better idea of the company\u2019s AI capabilities.<\/p>\n

In other Amazon news, recent PYMNTS Intelligence research shows that an increasing number<\/a> of consumers took part in the company\u2019s recent shopping event\u2014and that of rival Walmart\u2014even as spending on both events fell.<\/p>\n

\u201cThat trade-off offers a preview of the next phase<\/a> of promotional retail,\u201d PYMNTS wrote last week. \u201cThe biggest shopping events may attract more people than ever, but they are also becoming less capable of concentrating consumer spending in one place.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Amazon is reportedly phasing out several in-house artificial intelligence (AI) models in a larger AI overhaul. The tech…\n","protected":false},"author":2,"featured_media":121606,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[6744,24,1276,321,43398,3013,25,66,310,311],"class_list":["post-121605","post","type-post","status-publish","format-standard","has-post-thumbnail","category-agi","tag-agi","tag-ai","tag-ai-models","tag-amazon","tag-amazon-ai","tag-artificial-general-intelligence","tag-artificial-intelligence","tag-news","tag-pymnts-news","tag-whats-hot"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/121605","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/comments?post=121605"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/121605\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media\/121606"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media?parent=121605"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/categories?post=121605"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/tags?post=121605"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}