The tech industry’s turbulent landscape continues to be defined by a persistent wave of layoffs, with a recurring theme emerging prominently in recent reports: artificial intelligence. Many of the latest job cuts across the U.S. tech workforce are being directly linked to phrases such as "investment in AI," "AI-driven restructure," and an "AI-first pivot," indicating a profound strategic realignment within companies aiming to stay competitive in an rapidly evolving technological environment.

One of the most significant announcements this week comes from enterprise software giant Atlassian, which cited AI investment as a primary driver for its recent workforce reduction. The Sydney, Australia-based developer, known for popular collaboration tools like Jira and Confluence, confirmed it has laid off 1,600 employees in the past week, representing a 10% reduction across its global operations. This figure includes 252 U.S.-based workers. CEO Mike Cannon-Brookes addressed staff in a candid note, explaining that these difficult cuts were necessary to "self-fund further investment in AI and enterprise sales." This strategic move underscores a broader industry trend where established tech companies are reallocating resources and optimizing their workforce to capitalize on the immense potential of AI, even if it means painful job losses in other areas.

Another firm embracing an AI-driven restructuring is InvestCloud, a Los Angeles-based cloud management fintech company. In an interview with Wealth Tech Today, CEO Jeffery Yabuki revealed that the company’s recent layoffs would impact more than 150 workers within its digital wealth division. A company memo cited by the publication detailed a multifaceted rationale for the cuts, including "accelerating AI productivity and time-to-market gains," addressing "geographic dispersal that has hampered scale," and a decisive "strategic shift away from bespoke client solutions toward productized, repeatable innovation." This highlights how AI is not just about creating new products but also about fundamentally altering operational models and service delivery, leading to efficiency gains that can reduce the need for human labor in certain roles.

Amazon, a perennial presence on the Crunchbase Tech Layoffs Tracker, once again made an appearance with another round of job cuts. Approximately 100 workers in its robotics and automation unit were affected as the e-commerce and cloud computing behemoth decided to discontinue the development of its multitasking warehouse robot, Blue Jay. While smaller in scale compared to previous Amazon layoffs, this move illustrates the continuous optimization and strategic adjustments within large corporations, where even promising projects can be shelved if they don’t align with evolving priorities or demonstrate sufficient return on investment.

Proptech company Compass, based in New York, also marked its return to The Tech Layoffs Tracker this week after a hiatus of over three years. The company is reportedly laying off 110 individuals based in Madison, New Jersey. According to a report in TheRealDeal, these layoffs are backdated to January 9, 2026, coinciding with the day Compass finalized its acquisition of Madison-based Anywhere Real Estate. The report further indicates that these job cuts are expected to continue through August, suggesting a phased integration and streamlining process post-merger. This type of layoff, driven by mergers and acquisitions, is common as companies consolidate roles and eliminate redundancies to achieve synergies.

The Bigger Picture: Tech Layoffs by the Numbers

The recent announcements are part of a larger, ongoing trend of workforce reductions that has reshaped the tech industry over the past few years. Crunchbase News meticulously tracks these changes, providing a comprehensive overview of the sector’s employment dynamics.

• Layoffs during the week ended March 18, 2026: At least 868 U.S. tech sector employees were laid off or scheduled for layoffs, per a Crunchbase News tally. This weekly snapshot underscores the continued churn within the industry.
• In 2025: The previous year saw a substantial number of job cuts, with around 127,000 workers let go from U.S.-based tech companies, according to our tally.
• In 2024: The year 2024 witnessed at least 95,667 workers at U.S.-based tech companies losing their jobs. This marked a slight decrease from the peak in 2023 but still represented a significant number of displacements. The largest workforce reductions in 2024 included Intel Corp., which laid off more than 15,000 employees, followed by electric-car maker Tesla, cutting over 14,000 roles, and networking giant Cisco, with more than 10,000 total roles eliminated.
• In 2023: This was a peak year for tech layoffs, with more than 191,000 workers in U.S.-based tech companies (or tech companies with a large U.S. workforce) affected by mass job cuts. Amazon led the numbers with 16,000 roles cut, while Alphabet (Google’s parent company) totaled about 12,000 layoffs. Microsoft’s layoffs reached approximately 10,000 workers, a figure mirrored by Meta (Facebook’s parent company).
• In 2022: The initial wave of the recent layoff cycle began in 2022, with more than 93,000 jobs slashed from public and private tech companies in the U.S.

These figures illustrate a fluctuating but persistent trend of workforce adjustments, driven by a combination of macroeconomic factors, strategic shifts, and the evolving demands of the market.

Methodology: How Crunchbase Tracks Tech Layoffs

The Crunchbase Tech Layoffs Tracker is a dynamic resource designed to provide accurate and timely information on job cuts within the tech sector. Our methodology ensures comprehensive coverage and reliable data:

• Scope: This tracker includes layoffs conducted by U.S.-based companies or those with a strong U.S. presence. We cover both venture-backed startups and publicly traded, tech-heavy corporations. Additionally, we include companies based elsewhere that maintain a sizable team in the United States, such as Klarna, even if the exact impact on their U.S. workforce is not always precisely detailed.
• Data Sourcing: Layoff and workforce figures are carefully estimated based on a variety of credible sources. We gather information from mainstream media reports, Crunchbase’s own dedicated reporting, social media posts from affected employees or company announcements, and crowdsourced databases like layoffs.fyi.
• Updates: The tracker is updated at least bi-weekly, and often more frequently, to reflect the most recent rounds of layoffs each company has conducted. This iterative approach allows us to track layoff trends swiftly and accurately.
• Transparency: If an employee headcount or layoff figure cannot be confirmed to our rigorous standards, we clearly note it as "unclear" to maintain data integrity.

Frequently Asked Questions About Tech Layoffs

Understanding the nuances of tech layoffs is crucial for employees, investors, and industry observers alike. Here, we address some common questions:

What is a layoff?
A layoff is typically the termination of employment, often for reasons unrelated to an individual’s performance, such as cost-saving measures, restructuring, or a lack of available work. Layoffs can be permanent or temporary; however, in the context of the tech industry’s recent trends, they generally fall into the permanent category. A "mass layoff" refers to a significant reduction in a company’s workforce within a short period, frequently triggered by broader economic conditions or major strategic shifts.

Why are tech companies doing layoffs?
Tech layoffs surged in 2022 and continued through 2023 and 2024, with various reasons cited by companies:

1. COVID-19 Overhiring: Many companies, particularly in e-commerce and remote work enablement, rapidly expanded their headcount during the pandemic’s stay-at-home mandates to meet unprecedented consumer demand. As daily life normalized, they found themselves overstaffed.
2. Post-Pandemic Normalization: The return to pre-pandemic consumption patterns meant a slowdown in growth for many digital-first businesses, necessitating workforce adjustments.
3. Economic Headwinds: Concerns about slowing sales, rising inflation, increased interest rates, and the looming threat of a recession prompted companies to cut costs and improve profitability.
4. Venture Funding Downturn: Venture-backed startups faced a challenging environment as venture capital investment significantly decreased after its 2021 peak. To extend their cash runways and survive, many startups had to cut jobs, with some running out of cash entirely and facing bankruptcy or shutdown.
5. Strategic Pivots: Companies like Atlassian and InvestCloud are undergoing "AI-first pivots" or "AI-driven restructures," reallocating resources to emerging technologies like artificial intelligence, which can lead to the obsolescence of certain roles while creating new ones.
6. Mergers and Acquisitions: As seen with Compass, M&A activity often results in redundancies and subsequent layoffs as companies integrate operations and streamline teams.

What were the biggest tech layoffs of 2024?
In 2024, Intel Corp. led U.S. tech employers with more than 15,000 layoffs. Electric-car maker Tesla followed closely with over 14,000 roles cut, and networking company Cisco reduced its workforce by more than 10,000. These figures highlight the widespread impact across different segments of the tech industry.

What were the biggest tech layoffs of 2023?
In 2023, Amazon’s layoffs were the most extensive, impacting 16,000 roles. Alphabet (Google’s parent company) cut approximately 12,000 jobs, while Microsoft’s layoffs totaled about 10,000 workers. Facebook parent Meta also conducted substantial layoffs, affecting roughly 10,000 employees. The year 2023 was particularly harsh for tech employment, also seeing numerous venture-backed startups reduce their staff as venture capital investment plummeted and valuations corrected.

Are more tech layoffs coming?
While there are some indications that the sheer volume of layoffs may be tapering compared to the peaks of 2023, experts generally anticipate that job cuts in the tech sector will continue for the foreseeable future. Both large tech companies and startups are still navigating economic headwinds and adapting to new market realities. Seed and early-stage startups, in particular, may continue to conduct layoffs to extend their cash runways in a persistently difficult venture funding environment. The ongoing shift towards AI could also lead to further structural changes and associated job reductions as companies automate processes and rethink traditional roles.

What are signs that a company is planning layoffs?
Several indicators might suggest a company is contemplating layoffs:

1. Hiring Freezes or Slowdowns: A sudden halt or significant reduction in recruitment activity.
2. Restructuring Announcements: Public statements about organizational changes, departmental mergers, or strategic pivots.
3. Poor Financial Performance: Consistent quarterly losses, missed revenue targets, or a significant drop in stock price.
4. Increased Focus on Cost-Cutting: Aggressive measures to reduce expenses, such as cutting perks, travel, or non-essential projects.
5. Leadership Changes: High-level executive departures or new leadership brought in with a mandate for efficiency.
6. Merger or Acquisition Activity: Post-merger integration often leads to redundant roles.
7. Shift in Product Strategy: A move away from certain product lines or a strong pivot to new technologies like AI that could render existing roles obsolete.

How many recent tech layoffs have there been?
Tech layoffs began surging with the market correction in 2022, with an estimated 93,000 U.S. tech workers laid off that year. This figure more than doubled in 2023, reaching around 191,000 U.S. tech employees, according to our Tech Layoffs Tracker. Layoffs abated somewhat in 2024, with approximately 95,667 reported tech layoffs, and continue into 2025 and 2026. It’s important to remember that many companies do not report detailed layoff figures, and some continue hiring for strategically important positions even after conducting cuts.

What jobs are being cut in tech layoffs?
Tech layoffs have impacted a wide array of departments across companies. While many of the initial layoffs from large tech giants often targeted software engineers, especially those in non-core or experimental projects, the cuts have become more diversified. Startups tend to be more likely to retain engineers, focusing layoffs instead on talent and recruiting, marketing, sales, and administrative departments. For instance, Google cut roles across its sales, recruiting, product, and engineering teams. Amazon’s layoffs included jobs in its AWS cloud unit, at its social video platform Twitch, and in its advertising department. Meta CEO Mark Zuckerberg specifically noted that the company’s recruiting department would be among the first to see job cuts in their large-scale reductions.

Where can I read recent tech layoff news?
For the most up-to-date information and analysis on tech layoffs, follow all of our dedicated tech layoffs news on Crunchbase News here and utilize the comprehensive layoffs tracker above.

Where can I see layoffs in the last 24 hours?
While not updated daily to the minute, the Crunchbase Tech Layoffs Tracker is updated weekly, if not more frequently, ensuring you have the latest information on job cuts at U.S. tech employers as soon as it becomes available and verified.

Which companies are hiring for open tech jobs?
Despite the ongoing layoffs in the sector, many tech companies continue to actively hire for open roles, particularly in high-demand areas or for strategic growth initiatives. You can identify these companies by utilizing Crunchbase’s "Actively Hiring" filter, which helps users find organizations with multiple open positions. This feature allows job seekers and market analysts to pinpoint areas of growth amidst the broader industry adjustments. Find out more about Crunchbase’s Actively Hiring filter and how you can find companies with multiple open roles here.

Can I cite the Crunchbase Tech Layoffs Tracker?
Yes. We encourage the use of our data and analysis. Please cite Crunchbase News and include a direct link to this Tech Layoffs Tracker page when referencing our information.