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Amazon.com Inc's (NASDAQ:AMZN) latest reorganization isn't a cost-cutting move — it's a cultural reset. CEO Andy Jassy wants to make Amazon "the world's largest startup," he said while responding to analyst questions on the third-quarter earnings call.
"The announcement that we made a few days ago was not really financially driven and it's not even really AI driven, not right now at least," Jassy said. "It really, it's culture."
Jassy admitted that Amazon's explosive growth came with unintended baggage — too many layers and too little accountability. As he put it, "When that happens, sometimes without realizing it, you can weaken the ownership of the people who are doing the actual work."
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"And as a leadership team, we are committed to operating like the world's largest startup," Jassy said. "And that means removing layers. It means increasing the amount of ownership that people have and it means inventing and moving quickly."
He stressed that the moment couldn't be more critical, noting that with technology changing at breakneck speed, staying “lean, flat, and fast” is no longer optional — it's essential to how Amazon plans to operate now.
For investors, the message is clear: Amazon's "lean" isn't about shrinking — it's about accelerating. Jassy's version of efficiency is designed for the AI era — fast, decentralized, and experimental.
If Amazon can truly think like a startup again, that might be the company's most profitable reinvention yet.
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Photo: Shutterstock
Posted In: AMZN
