Google Confirms More Layoffs, Relocations as Part of Finance Team Restructuring Amid AI Shift

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The finance team of Google is undergoing restructuring, which will include layoffs and relocations, as the company shifts its focus towards investments in artificial intelligence (AI), Alphabet Chief Financial Officer Ruth Porat said in a memo on Wednesday.

Google Confirms More Layoffs, Relocations as Part of Finance Team Restructuring Amid AI Shift
The finance team of Google is undergoing restructuring, which will include layoffs and relocations, as the company shifts its focus towards investments in AI. SEBASTIEN BOZON/AFP via Getty Images

Google Restructures its Financing Team as Part of AI Shift

In the memo acquired by CNBC, Ruth Porat highlighted the ongoing transformation within the tech sector driven by AI and the need for Google to realign its workforce and resources to prioritize its "highest priority areas."

The restructuring initiative follows Google's broader effort to adapt to changing market dynamics, including a slowdown in advertising growth, by investing more in new technologies like AI.

In January, Google CEO Sundar Pichai told employees of further job cuts this year, although specific details regarding affected teams were not disclosed.

Porat said the changes will impact finance teams domestically and internationally, including in Europe, the Middle East, Africa, and the Asia-Pacific region.

Google to Create 'Hubs' for More Centralized Operations

Ruth Porat also mentioned the establishment of "hubs" for more centralized operations in key locations such as Bangalore, Mexico City, Dublin, Chicago, and Atlanta while reaffirming Google's commitment to retaining a large presence in the San Francisco Bay Area.

"Over the past year, we have talked about creating hubs of Fin'ooglers around the world that are vibrant and have a strong culture," Porat wrote in the memo.

"This strategy will help us be a more efficient organization and enables us to run 24 hours a day while respecting Fin'ooglers worktimes... We are sad to say goodbye to some talented teammates and friends we care about, and we know this change is difficult," she added.

Google's term for a company employee in finance is Fin'oogler.

Tags
Google, AI, Artificial intelligence

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