Amdocs layoffs 2025: Why this IT giant is cutting hundred of jobs?

Israeli software and services company Amdocs is planning to lay off hundreds of employees worldwide as part of a strategic push toward artificial intelligence (AI). As per reports, the company announced a new GenAI & Data division, which will integrate AI across its operations.

Unlike previous workforce reductions, which were tied to performance or cost optimization, this latest round reflects a technological transformation aimed at embedding AI into Amdocs’ core offerings.

Amdocs GenAI & Data Division: A Strategic Shift

The GenAI & Data division will bring together engineering, strategy, product, and go-to-market teams under one structure. It is headed by Ilan Sade, Senior Vice President, and has been in development for two years.


The division is designed to enhance performance, accelerate innovation, and create added value for clients by embedding AI into the company’s products and services.

Layoffs: A Consequence of AI Transformation

Amdocs has not confirmed the exact number of job cuts, but reports suggest hundreds of employees globally, including in Israel, will be affected. The company has about 29,000 employees worldwide, with roughly 5,000 in Israel.

This is the fourth major layoff at Amdocs in three years. In 2023, the company cut 2,700 jobs in two rounds, followed by 1,500 layoffs in 2024. Unlike earlier reductions, the current restructuring is driven by AI strategy rather than performance or profitability.

Amdocs’ move reflects a broader trend in the technology sector. Firms such as Microsoft and Intel have reduced headcounts while expanding AI investments. In the first seven months of 2025, tech companies worldwide eliminated over 89,000 jobs, with nearly half linked to AI-driven restructuring.