MOUNTAIN VIEW – Google (NASDAQ:) has announced a restructuring of its sales team, primarily affecting roles within its Large Customer Sales division that cater to its larger advertising customers. This decision, part of an annual process as indicated by Philipp Schindler, Senior Vice President at Google, comes as the tech giant continues to streamline its operations and integrate artificial intelligence (AI) into its business. While the company has experienced significant layoffs in the past year, with about 12 percent of its workforce being cut, it remains committed to investing in AI technologies.
The layoffs are part of Google’s broader strategic shift towards AI, with applications such as product image analysis and search optimization at the forefront of this transition. Despite the reduction in staff, Google is preparing to bolster its support for small businesses by increasing hiring later in the year. This initiative is expected to enhance the company’s AI capabilities, further entrenching its role in the digital advertising space.
A key part of this restructuring involves elevating the role of the Google Customer Solutions team in ad sales activities. Chris Pappas, a spokesperson for Google reassured that those affected by layoffs have opportunities for other roles within the company.
Google’s pivot to AI reflects the industry’s ongoing trend of automating processes and creating more efficient systems. By focusing on AI, the company aims to deliver improved services to its customers, particularly small businesses that are increasingly reliant on digital advertising for growth.
This move aligns with broader industry trends as evidenced by workforce reductions at Amazon (NASDAQ:) across Twitch and other divisions as well as at companies such as Discord and Meta (NASDAQ:). It also follows earlier staff reductions across divisions like Pixel and Nest within Google itself.
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