Amazon confirmed Wednesday that it laid off an unspecified number of employees in its artificial general intelligence (AGI) organization, the division working on the company’s advanced AI models.

The move, first reported by Reuters, comes as the company invests heavily in programs to help businesses implement AI effectively, including a $1 billion initiative to embed AWS engineers with customers building agentic AI systems.

It’s part of a larger shift in the industry as tech giants and AI frontier labs look to make sure the enormous sums they’re spending on AI pay off in tools businesses actually use.

In a statement, an Amazon spokesperson said building large AI models remains “one of the most important things we’re working on,” but said the company is also “sharpening our focus on the initiatives that matter most for customers, so we can move faster on what counts.”

“That focus means some difficult decisions, including eliminating some roles within parts of our AGI organization, even as we continue to invest in the areas most important to our customers’ future,” the spokesperson said.

It’s the latest in a series of changes in Amazon’s AGI group, which despite its name has always been focused more on frontier models than on what the industry considers AGI, the still-theoretical systems that would match or surpass human intelligence.

Rohit Prasad, the senior executive who oversaw Amazon’s AGI work, left the company late last year, and AGI Lab head David Luan departed in February. In December, Amazon folded the AGI group into a larger organization led by senior vice president Peter DeSantis that also includes chip development and quantum computing.

The cuts are the latest in a series of smaller reductions since January, when Amazon eliminated 16,000 jobs across the company. Amazon said U.S. employees whose jobs are cut will receive 90 days of pay and benefits, outplacement support and transitional health coverage, along with eligibility for severance.

Rudra “Rudy” Mitra, who spent more than 27 years at Microsoft and most recently led its Purview data-security business, is joining Amazon Web Services as vice president of security services.

Mitra will oversee an AWS portfolio that includes tools such as GuardDuty and Security Hub, which companies use to track security risks across their cloud accounts. AWS recently added AI-specific threat detection to GuardDuty and, perhaps notably given today’s news, extended Security Hub to monitor AI workloads and security inside Microsoft Azure. 

He will report to Chet Kapoor, the former DataStax CEO whom AWS hired last year as vice president of search, security and observability, a role that reports to AWS CEO Matt Garman.

“Rudy brings decades of security experience, a passion for building, and a deep understanding of what customers need as the security landscape continues to evolve,” Kapoor wrote on LinkedIn. 

Mitra joined Microsoft in 1999 straight out of college, working on early efforts to deliver Office as an online service before launching Purview, the company’s data-security and governance product, in 2014. He announced his exit from Microsoft last week, addressing what was next at the time by saying only that there was “more on that soon.”

His departure comes amid a broader reshuffling of Microsoft’s security leadership this year under Hayete Gallot, who returned from Google in February to run the group and has been reshaping its executive ranks in recent weeks and months.

Gallot replaced Charlie Bell, who had joined from AWS in 2021 and continues at Microsoft as an individual contributor focused on engineering quality. She’s been overhauling the group’s product lineup, according to The Information, which reported last week that at least nine corporate vice presidents who reported to Bell have left the company this year.

Rohan Kumar left for Salesforce in June, Vasu Jakkal stepped down after six years. Krishna Kumar Parthasarathy departed this month after 28 years. Joy Chik, president of identity and network access, announced her retirement in April.

On the inbound side at Microsoft, Naseem Tuffaha returned in June to fill the corporate VP role Kumar had left, after nearly two decades at the company and a stint away.

When Gallot arrived, Microsoft named Ales Holecek, a longtime engineering leader, as the security group’s chief architect, reporting to her. David Weston, another veteran Microsoft executive, also reportedly shifted into the security unit earlier this year.

One of Amazon’s top cloud leaders will be joining Meta as the Facebook parent company considers turning its massive AI buildout into a cloud business of its own.

That’s the report from the Wall Street Journal overnight, quoting anonymous sources saying that Dave Brown, the senior Amazon executive who led AWS compute and AI services, will join Meta in the coming weeks to work on its data center build-out.

Meta hasn’t committed to becoming a cloud provider, but CEO Mark Zuckerberg has said the idea is on the table. He told shareholders in May that companies were regularly approaching Meta to pay for access to its AI models or spare computing capacity — a business that would put Meta in competition with cloud providers it now relies on, including AWS.

At Meta, Brown will report to infrastructure chief Santosh Janardhan, according to the WSJ report. Janardhan co-leads Meta Compute, an initiative Zuckerberg launched in January to plan the company’s data center buildout. Meta has said it expects to spend $125 billion to $145 billion on capital expenditures this year, much of it tied to AI data centers.

Amazon isn’t commenting on the report. We’ve contacted Meta for confirmation and details.

Brown’s departure from AWS was announced on Wednesday, with a warmly worded message from AWS CEO Matt Garman giving no indication that Amazon would try to challenge or restrict his new role on competitive grounds.

AWS has gone to court before to enforce noncompete agreements against departing executives, suing two AWS leaders who left for Google Cloud in 2019 and 2020, respectively. But such agreements have grown harder to enforce. California bars them almost entirely, and Washington — Amazon’s home state — enacted a near-total ban this year, though it doesn’t take effect until mid-2027.

Garman’s message said Brown had decided to take “a new role outside of the company” but did not say where he was going. He’s remaining at AWS through the end of July to help with the transition.

At AWS, Brown will be succeeded by Dave Treadwell, a longtime Amazon executive who has run the technology behind the company’s retail operations and spent 27 years at Microsoft before joining Amazon in 2016. He takes over AWS Compute and ML Services on Aug. 1.

[Update, Friday, July 17: Brown is joining Meta, the WSJ reported. More here.]

Dave Brown, who joined Amazon Web Services as one of its earliest EC2 engineers and rose to lead its compute, AI and machine learning services, is leaving after nearly 19 years. 

AWS CEO Matt Garman told employees in a memo posted publicly Wednesday that Brown will depart at the end of July for an unspecified “new role outside of the company.” Amazon exec Dave Treadwell, who joined the company in 2016 after 27 years at Microsoft, will take over the group Aug. 1.

Brown’s exit comes about three months after Amazon promoted him to senior vice president. Brown had been on the company’s senior leadership team since 2023.

His tenure stretched back to the early days of the cloud. He joined AWS in 2007 in Cape Town, South Africa, where Amazon based part of its early EC2 engineering, before relocating to the Seattle area.

In an interview with GeekWire earlier this year, as the company marked the AWS 20th anniversary, Brown recalled Amazon CEO Andy Jassy, then the company’s top cloud executive, gathering the small Cape Town team in those days and telling them the business could one day be worth a billion dollars.

Brown said he could barely grasp the figure at a time when the service was bringing in tens of dollars a day: “I couldn’t even imagine how much a billion dollars was. It sounded like a lot of money.”

AWS today runs at roughly $150 billion in annualized revenue, and grew 28% in its most recent quarter — its fastest pace in nearly four years.

Brown’s role grew with the business. After starting as an engineer on EC2, or Elastic Compute Cloud, he went on to lead its broader compute organization, including close collaborations with the executives running Amazon’s custom silicon business. His purview also expanded to include the machine learning and AI services now central to AWS, such as the Bedrock and SageMaker platforms.

Treadwell has run Amazon’s eCommerce Foundation, the technical backbone of the company’s online retail operations, since joining in 2016. Before that he spent 27 years at Microsoft, where as a corporate vice president he worked on Windows, Xbox, and the .NET software framework.

In his memo, Garman described Treadwell — known internally as “Tread” — as one of AWS’s largest and most vocal internal customers, someone who pushed the cloud group to innovate and will now lead it.

Brown will remain through the end of July to help with the transition. In his own farewell note, he said it felt like the right time to begin a new chapter. “I’ll be cheering you all on from the sidelines,” he wrote.

Rohit Talluri learned the tradition at Amazon: always keep an empty chair in the room to represent the customer — a reminder of the people who will ultimately use whatever gets built.

Now, with AI coding tools creating software faster than ever, Talluri and his co-founders, fellow Amazon veterans Jean Farmer and Gabriel Fong, recognize that the customer can be easily forgotten in the process. So they’re creating a seat at the table for AI agents.

That’s the idea behind Primitive Labs. The startup is building what it calls behavioral intelligence: systems that observe, reason and act as customers would across software platforms and devices, helping product teams learn how people will react to a new feature, design or marketing decision before it ships.

Traditional user research and focus groups can take weeks or months, so teams under pressure to ship quickly are tempted to skip them. Primitive Labs is automating that research with agents that simulate human behavior, aiming to make it a routine step in building software.

“It’s bringing humans back to the center of a world that’s created by AI,” Talluri said. “That is the goal here.”

The mission, according to the startup’s launch post, is to “make human behavior a first-class primitive of software development.” That’s the inspiration for Primitive Labs’ name. The idea is to build products that people will understand, trust and keep using — not the average user, but specific types of users in specific contexts.

Founding team: Talluri, the Primitive Labs CEO, is joined by co-founders Farmer, CTO; and Fong, COO.

Fong and Talluri have worked together since 2020. At AWS in Seattle, Fong held product marketing and enterprise account roles, then led sales and marketing at the cloud consultancy DoiT International.

At Primitive Labs, his role runs broader than sales and marketing, spanning product direction, customer development and operations. Talluri describes him as highly technical and a hands-on contributor to the company’s core product work.

Farmer and Talluri worked together at AWS on large-scale machine-learning infrastructure, including the SageMaker HyperPod training service, before both moved into Amazon’s AGI organization.

Farmer worked on the Amazon Nova models’ ability to use software tools — designing how the models call tools and take actions, and building the systems to test and measure how well the resulting agents perform. That work included benchmarks for the Model Context Protocol (MCP), the emerging standard for connecting AI models to outside tools and data.

Roots in AI autonomy: Talluri joined the AGI Autonomy Lab, the group Amazon assembled around talent it hired from Adept, a San Francisco startup building AI agents that operate software on their own.

Amazon had brought on Adept’s CEO, David Luan, a former OpenAI executive, along with other co-founders in 2024, and licensed the startup’s technology, putting Luan in charge of the lab. Talluri worked there on computer-use agents and helped launch Nova Act, Amazon’s agentic computer-use model.

Talluri said he initially came close to leaving Amazon in 2025 to start a company, before leaders there steered him toward the Autonomy Lab to work under Luan (who has since left Amazon).

Funding: Primitive Labs has raised a pre-seed round, led by a16z Speedrun and joined by several small, newer venture funds and a group of angel investors. The company isn’t disclosing the funding amount.

Its launch post lists backers including Olive Tree Capital, Cloverfield Fund and Unexpected Investments (from former TechCrunch editor Josh Constine), plus angels such as Luan, Harsh Patel and Artur Kiulian, and others with backgrounds at OpenAI, Amazon, Google DeepMind, Databricks, Nvidia and Meta.

Primitive Labs will join a16z Speedrun’s cohort starting this month, and expects to raise its next round around the end of the program, in September or October.

Headquarters: The company is based in San Francisco, where it’s working part-time out of a16z’s Speedrun space, with plans to get its own office after making its first hires.

Talluri, a University of Washington graduate who read GeekWire as a student and dreamed of launching a startup of his own, said the choice came down to San Francisco’s talent density and the pace of AI research there, plus the Speedrun program being there.

Primitive Labs posted its first job listings last week — for founding engineers, researchers and an intern, in San Francisco or New York.

Product status: The company is pre-revenue and working with a small group of early customers who are testing its product and helping shape it, including private previews with what Talluri described as Fortune 500 and Fortune 50 consumer-technology and e-commerce brands.

The company plans to launch its products in general availability later this year.

How it works: The agents work across devices including computers and phones, focused for now on digital products and customer journeys. The company says it has also explored using them to gauge reactions to physical products, such as brand and packaging.

The underlying research draws on computational cognitive science, continual learning and custom memory systems modeled on how people store information — work Talluri said the company plans to publish and partly open-source in the coming months.

While other startups are working on agent-based simulation and automated testing of user interfaces, what sets Primitive Labs apart, Talluri said, is the focus on human alignment. That means building agents that faithfully represent a specific product’s users, and making that a standard layer of how software gets built. He described the key measure as behavioral fidelity, or how closely an agent’s choices track human decisions.

Asked whether the startup will keep a chair empty when it gets an office, in the Amazon tradition, Talluri didn’t hesitate. “100%,” he said. And yes, he said, they’ll be envisioning an agent sitting there.