AMAZON

This AWS lab did everything right and still got shut

Amazon is shutting down its AI lab in Shanghai, becoming the latest US tech company to scale back research in China.

The lab, launched by Amazon Web Services in 2018, published over 100 academic papers and developed tools that reportedly drove nearly $1bn in sales.

One of the lab’s senior scientists said the closure was part of “strategic adjustments” tied to ongoing US-China tensions.

Here’s what you should know:

  • Amazon’s Shanghai AI lab is shutting down after contributing to $1bn in sales

  • US export controls are making cross-border AI research harder

  • Tech giants are gradually reducing their China-based R&D efforts

Bye, billion-dollar baby

It’s a familiar pattern.

IBM and Microsoft have also pulled back from research in China as the US tightens controls on advanced chips and cloud tech.

Amazon hasn’t said how many roles are affected, but wider job cuts are already underway.

CEO Andy Jassy recently told staff that growing AI adoption will likely lead to more restructuring.

AWS still operates in China, mainly helping global companies and Chinese tech firms with international operations, but the focus is shifting fast.

This is why we can’t have nice (shared) things.

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