Alphabet unit Verily ends its device program to prioritize artificial intelligence research and product development.
On Monday, Verily, Alphabet’s life sciences division, terminated its entire devices program and reduced its workforce.
According to Business Insider, CEO Stephen Gillett disclosed the “difficult decision” to end the program in a staff memo.
The “path forward” necessitates difficult decisions as Verily refocuses on AI and data infrastructure, as Gillett wrote, “Over the years, Verily has built a legacy in developing world-class, innovative medical devices.”
The action indicates Alphabet’s ongoing endeavors to reduce expenses in other areas while investing in AI.
In recent years, the organization has implemented numerous cycles of layoffs, such as voluntary exit programs for its over 25,000 Platforms & Devices employees in the spring and cuts to its HR and cloud units in February.
Alphabet’s most significant recent reductions occurred in January 2023, when it eliminated 12,000 positions, which accounted for 6% of its workforce at the time, in anticipation of an economic downturn.
ChatGPT became the fastest-growing consumer software application in history in the same month, accumulating over 100 million users in just two months. This event marked the beginning of the generative AI surge that continues to motivate the technology industry’s priorities.
