The efficiency drive coincides with Google's increased focus on AI to counter competitive threats.
Google GOOGL has reduced its top management roles by 10% as part of a multi-year effort to streamline operations and boost efficiency.
What Happened: On Wednesday, CEO Sundar Pichai revealed during an all-hands meeting that the move reflects Google's broader push to simplify its structure and adapt to a rapidly evolving tech landscape.
According to employees who attended the meeting, Pichai explained that the efficiency drive included changes to managerial, director, and vice president roles.
Some positions were restructured to nonmanagerial roles, while others were eliminated entirely. The changes align with Pichai's 2022 statement that he wanted the company to become "20% more efficient," a goal that resulted in 12,000 layoffs in January of this year.
According to the report by Business Insider, Google's pursuit of efficiency comes as competition intensifies in the artificial intelligence space, with rivals like OpenAI launching products that challenge Google's dominance in search.
Also Read: OpenAI's ChatGPT Makes Headway In Search, Threatening Google's Reign
In response, Google has infused generative AI into its core services and unveiled innovations such as a new AI video generator and its Gemini AI models, including a "reasoning" model designed to showcase its thought process.
During the meeting, Pichai also addressed Google's cultural identity, discussing the term "Googleyness," which he said needed an update to reflect the company's modern values and direction.
The term has long been associated with Google's work culture, and its evolution signals the company's commitment to staying relevant in a rapidly changing industry.
As Google continues its efficiency drive and AI innovation efforts, it remains a key player in shaping the future of technology while adapting its structure and culture for the challenges ahead.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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