Baidu Implements Workforce Reductions Amid Strategic Pivot to AI
Baidu has initiated sweeping layoffs across multiple business units following a $1.59 billion quarterly loss, with the mobile ecosystem group bearing the brunt of cuts. Workforce reductions of up to 40% in some teams reflect the company's struggle with consecutive revenue declines.
The restructuring reveals Baidu's strategic priorities—AI and cloud computing roles remain shielded as resources shift decisively toward artificial intelligence development. This realignment comes as the company's total headcount drops from 41,300 in 2022 to 35,900 by 2024's end.
November's dismal earnings report accelerated the workforce optimization plan, with layoffs expected to continue through December. The MOVE underscores the brutal economics facing China's tech giants as they navigate post-pandemic realities and intensifying sector competition.
