Amazon has sent a cease-and-desist letter accusing Perplexity AI of using its Comet browser agent to make purchases on Amazon without authorization, prompting Perplexity to fire back with a public statement alleging bullying and intimidation from the e-commerce juggernaut.

The job cuts come as Amazon CEO Andy Jassy has said he envisions the company relying on AI agents to replace human workers.

The tech giant axed 14,000 roles, and more layoffs could be coming in 2026. Employees might wonder why it's necessary, and the company's mixed messages aren't helping.

Amazon has faced pressure from investors to tighten its finances as it spends big on the AI race. The company says it will cut 14,000 jobs, citing a goal of "reducing bureaucracy, removing layers."

"We're going to promote based on AI," said Amazon VP Jamie Simonoff. "We're going to promote based on how you're integrating AI into your job."

Customers who engage with Rufus during their shopping journey are 60% more likely to complete a purchase compared to those who don't.

In its financial results for the third quarter ending September 30, 2025, Amazon’s net sales climbed 13% year-over-year to $180.2 billion, up from $158.9 billion in the same period of 2024. Excluding foreign exchange tailwinds, sales were up 12%.

The Wall Street Journal is reporting that the biggest firms in Silicon Valley have invested $400 billion into artificial intelligence technology just this year. Tech companies like Meta, Alphabet, Microsoft and Amazing are expected to increase their investment in AI next year.