Tech layoffs hit 1.19 Lakh in 2026: Microsoft, Google, Meta cut jobs as AI becomes top priority
More than 1.19 lakh tech workers have lost their jobs in 2026 as companies including Microsoft, Meta, Amazon, Google and Oracle continue restructuring around AI.
Published By: Shubham Arora | Published: Jul 07, 2026, 09:21 PM (IST)
The wave of tech layoffs is showing little sign of slowing down in 2026. Thousands of employees have already lost their jobs this year as companies continue reshaping their businesses around artificial intelligence. While many firms describe the cuts as part of restructuring or efficiency measures, AI has become a common factor behind several of these decisions.
According to Layoffs.fyi, 1,19,494 technology professionals have been laid off across 219 companies during the first half of 2026. Several of the biggest names in the industry have reduced their workforce while continuing to invest heavily in AI infrastructure, automation and new products.
Microsoft, Oracle and Meta among biggest names
Microsoft announced another round of 4,800 layoffs this week, affecting around 2.1% of its global workforce. The company's commercial sales teams and Xbox division have been impacted the most, with reports suggesting nearly 1,600 Xbox employees are among those affected. Microsoft continues to invest billions of dollars in AI infrastructure and data centres.
Oracle has also reported a sharp decline in its workforce over the past year. The company's latest annual filing shows its headcount has dropped from around 1,62,000 employees to nearly 1,41,000. Oracle has acknowledged that AI adoption has already contributed to some of these reductions and may continue to influence future hiring decisions.
Meta also carried out another large restructuring exercise, eliminating nearly 8,000 roles. At the same time, the company has shifted around 7,000 employees into AI-focused teams while removing thousands of unfilled positions. CEO Mark Zuckerberg has repeatedly highlighted AI as one of Meta's biggest priorities going forward.
More companies are making similar changes
The trend extends well beyond a handful of companies. Dell's workforce also became smaller during fiscal 2026, falling from about 1,08,000 employees to nearly 97,000. The company spent around $569 million on severance while projecting strong growth in demand for AI-optimised servers.
PayPal has reduced roughly 20% of its workforce, cutting more than 4,500 jobs as part of a wider transformation centred around AI.
Block, the fintech company led by Jack Dorsey, has also reduced its workforce by around 4,000 employees. Dorsey has said AI tools are allowing companies to operate with leaner teams and suggested more organisations could move in the same direction.
Google, Amazon and Cloudflare also cut jobs
Google has quietly reduced headcount within its Cloud division despite the business continuing to report strong growth. Reports suggest between 1,500 and 3,000 roles have been affected as the company simplifies management layers and prepares for more AI-driven workflows.
Amazon has also continued reducing corporate roles after another major round of layoffs. The company has eliminated around 16,000 positions following earlier cuts announced in late 2025. CEO Andy Jassy has previously said wider use of generative AI and autonomous agents is likely to reduce the need for certain corporate jobs over time.
Cloudflare is another company that has linked restructuring with AI. Despite reporting strong financial results, it reduced around 20% of its workforce, affecting more than 1,100 employees.
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