Google announced significant layoffs affecting hundreds of employees, spanning various divisions such as engineering and services. The restructuring encompasses key areas, including the voice-activated Google Assistant and the Devices and Services PA (DSPA) team responsible for managing Pixel, Nest, and Fitbit hardware.
While Google, with a workforce of 182,000 as of September 30, 2023, confirmed the job cuts, it framed them as part of broader organizational changes. A Google spokesperson stated, “To best position us for these opportunities, throughout the second half of 2023, a number of our teams made changes to become more efficient and work better, and to align their resources to their biggest product priorities.”
The Alphabet Worker Union expressed strong opposition to the layoffs, branding them as “needless” and asserting that the company cannot continue firing employees while enjoying substantial profits.
Among the notable changes, Google has streamlined its approach to augmented reality (AR) hardware, discontinuing most of its AR hardware team. Instead, the company plans to collaborate with other original equipment manufacturers (OEMs). Additionally, Fitbit co-founders James Park and Eric Friedman are departing as part of this restructuring. Park, instrumental in introducing the Pixel Watch line of smartwatches, played a key role in Google’s hardware lineup.
The company had acquired Fitbit for $2.1 billion in 2019, with the deal finalized in 2021 after regulatory approval. Google has been gradually integrating Fitbit products into its own offerings, prompting Fitbit users to migrate to Google accounts.
In a separate development, Google has also downsized its Google Assistant team, signaling changes in its approach to AI-powered features. Last year, Google infused AI capabilities into Google Assistant through Bard, expanding its functionality beyond voice commands. During the Pixel event in October, Google highlighted Assistant’s ability to navigate apps like Gmail and Drive to respond to queries related to specific emails and files.
This round of layoffs follows several others within the past year, impacting various teams such as the Waze mapping service in June, the recruiting team in September, and the news division in October. Notably, this company-wide layoff comes a year after Google let go of approximately 12,000 roles, constituting 6% of its workforce, in January 2023. The move raises questions about the company’s strategic direction and its impact on employees amidst continued industry transformations.
