Technology giant Amazon has revealed job cuts affecting hundreds of employees at its cloud computing arm, Amazon Web Services (AWS).

According to its latest financial report, AWS now contributes 14% to Amazon’s total revenue, reflecting its significant growth.

The company has been realigning its focus, particularly with its physical stores like Amazon Fresh, launched in 2020.

On Tuesday, Amazon announced the removal of its self-checkout system, Just Walk Out, from all its stores.

The job cuts primarily impact several hundred roles in sales, marketing, and global services, as well as a few hundred positions in its physical stores technology team.

An AWS spokesperson stated, “These decisions are difficult but necessary as we continue to invest, hire, and optimize resources to deliver innovation for our customers.”

Despite the cuts, Amazon affirmed its commitment to hiring and growth, especially in core business areas. It emphasized the availability of thousands of job opportunities and pledged to explore internal options for affected employees.