Amazon layoffs: Why is it gutting Nova AI models for one system?

Three years after Andy Jassy told staff that Amazon would chase artificial general intelligence with the same urgency as its biggest rivals, the company is narrowing that ambition down to a single wager: one frontier model, built by one team, backed by the bulk of its computing budget, Business Insider reported. Getting there has meant layoffs at Amazon, a shuttered research lab, and the slow retirement of a model family Amazon once treated as its flagship.

Amazon is set to report quarterly earnings on Thursday after its shares declined for five consecutive trading days.