Connect with us

Hi, what are you looking for?

News

Google expands employee buyouts to five more countries as AI spending soars: report

Alphabet has expanded its voluntary employee buyout program to five more countries as the Google parent seeks to control operating costs while pouring billions of dollars into artificial intelligence infrastructure.

The company confirmed to Reuters on Wednesday that it extended voluntary exit offers to employees in five countries in June.

The number of employees who accepted the offers remains unclear.

Alphabet shares gained approximately 1% in premarket trading Wednesday as investors assessed the company’s efforts to redirect resources toward its AI ambitions.

Alphabet’s shares came under pressure after its third-quarter results, losing over 12.5% in a single session due to worries around its massive spending.

Google expands voluntary buyout program

The latest round builds on a voluntary exit program Google introduced across some teams in 2025.

The company subsequently extended the offers to selected employees in the US and the UK before expanding the initiative internationally this year.

Employees in Canada, France, Germany, Japan ​and Switzerland are at the receiving end this time, as per the report.

“In 2025, some of our teams introduced a voluntary exit program with severance,” a Google spokesperson told Reuters. “This past summer, in June, we expanded this program globally in a few countries to support our important work ahead.”

Executives have reportedly described the offers as an opportunity for employees who no longer feel aligned with the company’s direction to leave voluntarily.

In Switzerland, where Google employs approximately 5,000 people, employees were informed about the packages in mid-June and given until mid-July to respond.

Departures began in August. Employees who accepted received one month’s salary for every year of service, subject to a maximum payout of 12 months.

The program covered several divisions but excluded DeepMind, Google’s artificial intelligence research unit. Google Cloud employees and DeepMind staff were also excluded from earlier buyout rounds.

The latest move comes even as Alphabet’s overall workforce has continued to expand in recent quarters.

Big Tech cuts jobs to fund AI ambitions

Google’s move reflects a broader trend across the technology industry, where companies are reassessing workforce costs while increasing investments in computing infrastructure.

Microsoft last week introduced a voluntary exit program for approximately 60,000 employees, representing over one-fourth of its global workforce.

Meta announced plans in April to reduce its workforce by approximately 8,000 employees, or 10%, while Amazon has undertaken multiple rounds of job cuts across its business.

Oracle also eliminated approximately 21,000 positions in June as it redirected resources toward AI infrastructure.

Alphabet’s AI spending adds to pressure

The buyout expansion comes as Alphabet faces growing investor scrutiny over the financial demands of its AI investments.

The company spent $51.4 billion on capital expenditures in the third quarter, more than double the amount recorded a year earlier.

Its free cash flow turned negative at $9.1 billion, compared with positive cash generation in the year-earlier period.

The cash outflow reflected heavy infrastructure investment, inventory buildup for its TPU systems and a European Commission-related payment.

The post Google expands employee buyouts to five more countries as AI spending soars: report appeared first on Invezz

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

News

AI systems are increasingly judged not only by what they can do, but by how reliably their performance can be measured, traced, and governed. ...

News

Astera Labs stock made a strong bearish breakout and dropped to its lowest level since May 19. The shares fell to a low of...

News

Qualcomm stock continued its strong downward trend this week as investors dumped companies in the semiconductor industry. It dropped to $162 on Monday, down...

News

Snap stock has slumped into a local bear market after falling by over 20% from its highest point in October this year. It dropped...

News

Duolingo stock is rising today, November 4, as investors react to an earnings report showing that revenue growth accelerated last quarter. DUOL climbed to...

News

The Democrats’ sweeping midterm victory has dealt a major blow to technology billionaires and corporate interest groups. They poured billions of dollars into political...

You May Also Like

Investor Strategy

The consensus story about Samsung Electronics is that you buy it for the memory supercycle. That story is incomplete, and the part everyone is...

Investor Strategy

SK Hynix is not trading at seven times earnings, whatever the screen says. The Korean memory maker closed at ₩1,678,000 on 25 August 2026,...

Business Insider

Every country that builds things eventually faces the same question about a cheaper foreign rival, and there are only two honest answers to it....

Investor Strategy

Almost every summary of X-Energy you will read says the company reached the public market through the Ares Acquisition Corporation II blank-cheque vehicle. It...

Disclaimer: Respect Investment.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2026 respectinvestment.com | All Rights Reserved