Google to announce another layoff?

Google is planning for a major shake-up in its ad sales unit, impacting around 30,000 employees, according to a report from The Information.

Notably, Google laid off around 12,000 employees earlier this year, making it the biggest job cut in the company's history.

The report indicates that the restructuring is a response to Google's deployment of new AI-based tools within its ad sales unit. These tools are designed to automatically suggest and create ads that not only perform well for customers but also require minimal attention from human employees.

One key player in this AI revolution is Performance Max, an AI-powered campaign planner introduced by Google in 2021. At this year's Google I/O event, the company upgraded Performance Max with generative AI capabilities, allowing users to effortlessly "create custom assets and scale them in a few clicks."

As more advertisers embrace Performance Max, the need for specialized employees focused on selling ads for specific Google services, such as YouTube, Search, Display, Discover, Gmail, and Maps, is diminishing.

The internal announcement of the ad sales unit reorganization was made by Sean Downey, Google's president of the Americas and Global Partners, during a recent meeting. However, it remains unclear whether this reorganization will lead to additional job cuts.

During the meeting, an employee raised a question to Sundar Pichai, Google's CEO, regarding the impact of the previous workforce reduction on the company's growth, profit and loss, and employee morale. Pichai acknowledged the significant impact on employee morale, describing the job cuts as one of the "most difficult decisions for the company" in the last 25 years. He emphasized that while the decision was tough, it was necessary for the company's overall health and ability to invest in key areas.

Pichai stated, "If the company hadn't cut those jobs last year, it would have been a worse decision down the line. It would have been a major overhang for the company. I think it would have made it very difficult in a year like this with such a big shift in the world to create the capacity to invest in areas."

Google's move reflects a strategic alignment with AI advancements, showcasing the company's commitment to innovation and efficiency in the ever-evolving landscape of digital advertising.

The implications of this restructuring of the workforce will undoubtedly unfold in the coming months.

Until then...

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