this post was submitted on 19 Jul 2025
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They probably are not broadly lying about AI replacement being the main factor.
Turns out... Amazon runs AWS for businesses... and also Amazon.com the online retail megastore and logistics service.
Every other business is laying people off?
Less B2B AWS demand.
Everyone is now unemployed?
Less consumer demand, downsize all aspects of Amazon.com storefront and logistics.
...
I'd actually argue that any serious modern economist should be paying attention to AWS and other enterprise level, scalable server solutions...
... That's a leading indicator of at this point, of broad economic conditions.
If AWS and similar departments at similar companies... stop expanding so much, when the rest of the economy seems to be doing ok?
Yeah, that means growth in demand for basically core business software infrastructure is stalling, and it'll take 6 to 18 months to filter through to the rest of the economy and become apparent in other metrics.
And the TACO did it again