The AI-related layoffs at Amazon and some other firms reflect a "hollowing out of middle-skilled workers," Lynn Wu, a professor of operations, information and decisions at the University of Pennsylvania, told ABC News.

Twitch is facing another brutal round of layoffs as Amazon slashes tens of thousands of jobs amid a major pivot to artificial intelligence.

The company's top human resources executive said Tuesday that the tech giant needs to be "organized more leanly" due to the "transformative" nature of AI.

Amazon confirmed plans to reduce its corporate workforce, impacting 14,000 employees. The company cited a need to be more lean and the increasing prevalence of artificial intelligence as reasons for the cuts. Those who do not find a new role will be offered severance pay and other transition benefits.

Amazon has multiple businesses that would be unaffected if an AI bubble bursts. Most of Alphabet's revenue comes from its Google Search engine, which is in great shape. Meta Platforms derives nearly all of its revenue from ads on its social media platforms.

E-commerce giant Amazon confirmed Tuesday it will cut 14,000 corporate jobs as the retailer invests in artificial intelligence.

Amazon on Wednesday said it is speeding up the automation of its warehouses with the help of artificial intelligence and robotics, raising questions about the future of human workers.

Amazon and Palantir are two of the most popular large-cap AI stocks, but chip giant Broadcom could outgrow them in the coming years.