Cost Cutting at Amazon: Alexa gets a tighter budget.

[Kelly A]

RE: corporate herd mentality: I wouldn't doubt that some of that applies to the layoffs. At the same time, I think your point about people not buying so much discretionary stuff -- less purchasing of gadgets, cutting some of the multiple streaming site subscriptions, etc., has more to do with inducing the layoffs.

True statement. In a bizarre, unexpected way, pandemic lock-downs were a gold rush for some companies, but a death blow to others. Those times also upended the idea of how many employee positions a company actually needs, considering many were 'working from home' but still collecting a paycheck. Now many companies are asking themselves whether they actually need the overhead of so many employee costs.

I've read that advertising revenues are down. That affects online companies like Meta.

And Disney, CBS Paramount, NBC Universal, Amazon, GE, Samsung, J&J and many others. Twitter is a completely different situation.

Inflation is hurting the consumer. Food is still up 15-20% from last year for most items, the BLS average is 11%. Energy is up 17% on average according to the BLS. Consequently, consumers are cutting back.

Rising interest rates to cool consumer spending, is part of the process to keep a potentially worse recession from happening. It's working. But you also have to consider this isn't just a U.S.A. problem, but a global one. European countries are in much worse shape than we are.

I'm not sure how much these reported Amazon, FB, etc. layoffs will affect radio, if any. They don't advertise on radio.

Radio as an industry is a tiny drop in a larger swimming pool. One could argue the drop continues to get even smaller.

 

[Joseph_Gallant]

What about large institutional investors who keep demanding that companies cut costs and reduce the number of employees, in good economic times or bad, simply because they want to see companies' stock price go up?

 

[Kelly A]

What about large institutional investors who keep demanding that companies cut costs and reduce the number of employees, in good economic times or bad, simply because they want to see companies' stock price go up?

Cutting costs in advance is a (pardon the term) hedge against potential revenue downturns due to economic conditions. That's what's going on now.

 

[Harvey_Dogg]

I think it's a very bad sign when they are making cuts like this at Christmastime. This should be the busiest time of the year. There's much worse to come.

 

[Kelly A]

I think it's a very bad sign when they are making cuts like this at Christmastime. This should be the busiest time of the year. There's much worse to come.

Cuts generally come around the Holidaze. It's Q4 savings prior to filing financial reports due in Q1.

 

[Oldbones]

My wife got ripped off by an Amazon vender who was a crook. Amazon kept their cut of our money even when they knew we had been ripped off.

Amazon's customer service sucks in my opinion. I now use eBay.

I sold my Amazon stock after the rip off. Now I'm glad I did because their stock is worth only 60% of what it was back then.

Crooks are everywhere. I've had MUCH better experiences with Amazon vendors than I ever did with Ebay. While getting ahold of an actual person at Amazon is challenging, I've found their online customer service to be first rate.
I went the other way on their stock...it was a bit rich for my budget before this year, but I took advantage of buying on the dip. They're a solid company, and I expect they'll be around for quite some time to come.

As far as Amazon delivery trucks, I've never seen one. Anything I've ordered has come via UPS or USPS. Then again I'm kind of out in the sticks.

 

[landtuna]

Cutting costs in advance is a (pardon the term) hedge against potential revenue downturns due to economic conditions. That's what's going on now.

Two days ago I saw stories that Amazon, UPS and Fedex were advertising for permanent, part-time and seasonal workers. Yesterday I read multiple stories about significant layoffs at all three.

Someone has their wires crossed.

 

[KeithE4]

Two days ago I saw stories that Amazon, UPS and Fedex were advertising for permanent, part-time and seasonal workers. Yesterday I read multiple stories about significant layoffs at all three.

Someone has their wires crossed.

New hires will probably be paid less than the more experienced ones that will be let go. Especially the part-time and seasonal workers. Happens all the time, regardless of industry, unfortunately.

 

[gr8oldies]

There are 2 Amazon warehouses that have been built in my area, but they have held off on opening.

 

[landtuna]

The other anomaly that I've noticed is that my last 3-4 orders have initially had receive dates a week or more out but then have been changed to just a matter of days. I am guessing this is because Amazon has fewer orders/deliveries. Nothing has arrived late.

 

[Tibbs4]

We will know the extent of the delivery “economy” in mid-January when Drizly announces their OND numbers. During good times people drink. During bad times people drink. But the price increases have been so intense on many beers and spirits, that many are luxury items now. That will be one of the real barometers. Going go be interesting.

 

[Negin]

I was sent (at no cost IIRC) an Alexa device several years ago. It was live for 2-3 days then I found it to be intrusive, distracting, and for music, very useless. It has been unplugged ever since. For the several minutes each year I spend listening to the radio my portable HD desktop does just fine.

I got an Echo a couple years ago as a gift. It's still sitting in the storage shed. No smart crap in my house!

 

[Kelly A]

No smart crap in my house!

Heh, there's the quote of the week.

 

[radio11]

Per 17 Nov article in WSJ, Amazon layoffs will be from corporate staff, not warehouse workers.

 

[Kelly A]

Per 17 Nov article in WSJ, Amazon layoffs will be from corporate staff, not warehouse workers.

That's been the case with several recently announced layoff plans. Meta really started the trend, when Mark Zukerberg realized his company was losing about $1B per month is expenses. He even sent out a memo to his middle and corporate management team essentially asking the question; 'what the Hell am I pay you people for?'

 

[gr8oldies]

Per 17 Nov article in WSJ, Amazon layoffs will be from corporate staff, not warehouse workers.

They are delaying the opening of new fulfillment centers, 2 of them freshly built in my area.

 

[Deleted User]

I know someone who works in the Alexa division in MA, he was spared this round of cuts, but they were told there is another round in the works for January.

I use Alexa to listen to WBZ-AM when I wake up in the morning here in FL., Sirius XM when I wake up in the middle of the night and need something to listen to, it turns on lights at both houses at certain times when we are not there, lights on/off in the house we are in... and my Christmas lights go on an Alexa plug to turn on and off so I don't have to go out and unplug them every night.

When I was in NH Friday and Mrs Bored Op was still in FL we video chatted over Alexa devices....

Plus all my Blink cameras can be monitored on my Alexa.

The only down side is my wife uses it to listen to Nickleback, and when I was flying back last night I was using Amazon Music on the plane and it showed the last 100 or so songs played on the account and it was all Nickleback sh*t

When my Mom was in her last months, I put one next to her bed, she could listen to all her favorite songs, and if she couldn't reach the phone in a pinch I set it up to call me and my siblings, all she had to do was tell it to do so. I would video chat with her every morning at 830 sharp

The Alexa system is a fun little toy for me