Amazon restructures podcast unit, lays off over 100 employees

Amazon has laid off approximately 110 employees from its podcast unit Wondery, as the company moves to restructure its audio business in response to major shifts in the podcasting industry. The decision, which involves a realignment of Wondery’s operations and the departure of its CEO, was first reported by Bloomberg and later confirmed in an internal memo.

In the note addressed to employees, Steve Boom, Amazon’s Vice President of Audio, Twitch, and Games, announced that Wondery’s narrative podcast teams will be merged into Audible, while its creator-led shows will be spun into a new division called “Creator Services” within Amazon.

These strategic changes come as Amazon seeks to “better align with evolving industry dynamics” and position itself for long-term success in an increasingly video-first podcasting landscape.

“We are making changes to Wondery and our broader audio business to better position ourselves for the future,” Boom wrote in the internal communication, according to Bloomberg. “Unfortunately, these changes mean saying goodbye to some of our colleagues.”

Wondery CEO exits amid shake-up

The layoffs coincide with the resignation of Wondery CEO Jen Sargent, who has led the company since 2020. Her departure marks a significant moment in Amazon’s podcast strategy, especially considering Wondery’s early success with narrative hits like Dirty John, Dr. Death, and The Shrink Next Door.

Since being acquired by Amazon in late 2020, Wondery had also inked deals with high-profile podcasts including Dax Shepard’s Armchair Expert and Jason and Travis Kelce’s New Heights—helping Amazon grow its presence in the highly competitive audio entertainment space.

However, as the podcasting industry evolves, Amazon is re-evaluating where and how to invest. The company’s latest move reflects a strategic shift away from siloed operations toward a more integrated structure that can better serve creators and advertisers while delivering a more unified listener experience.

The rise of YouTube and video-first challenges

In the internal memo, Boom acknowledged that the podcasting landscape has changed drastically over the past few years, with YouTube emerging as a dominant platform, especially for video podcasts. This development has forced audio-only platforms to reconsider their business models and content strategies.

“Discovery, growth, and monetisation work very differently for narrative series versus creator-led shows,” Boom wrote, citing the need to adapt as video formats increasingly take precedence over traditional audio experiences.

The decision to shift narrative podcasting to Audible, Amazon’s established audiobook and spoken-word service, suggests a renewed focus on premium storytelling within an environment already designed for deeper listener engagement. At the same time, creator-led content will be housed under Creator Services, a new internal division meant to cultivate and manage partnerships with podcast personalities, influencers, and other digital creators.

Layoffs reflect broader tech and media trends

The Wondery layoffs are part of a broader trend in the tech and media sectors, where companies are trimming staff amid a combination of strategic realignment and economic pressure. Since early 2024, major firms including Spotify, Meta, Amazon, and Google have restructured content divisions, particularly in audio and video.

For Amazon, which has made significant investments in its audio ecosystem over the past few years, this restructuring indicates a more targeted approach going forward. Instead of competing with YouTube’s scale and algorithm-driven discovery model, Amazon appears to be leaning into its strengths in curated, subscription-based content via Audible, while building a more flexible infrastructure for creator collaborations.

The company has said affected employees have already been notified and will receive support through severance packages and transition services, although specific details were not made public.