The layoffs, which began this week, represent about 8% of the company’s developer workforce.
issued Wednesday, June 10, 2026 · 03:37 PM
[SINGAPORE] Sea’s Shopee is cutting hundreds of developer jobs around the world, joining rivals around the world in reducing headcount while deploying AI in the workplace and developing new services based on the technology.
The layoffs, which began this week, represent about 8% of Shopee’s developer workforce, according to people familiar with the matter. These will impact roles such as quality assurance, and further cuts may follow, the people added, requesting anonymity to discuss their personal information.
It’s unclear whether this move is directly tied to Shi’s foray into artificial intelligence. But they dovetail with a growing debate around the world about the impact of technology on jobs, following Jack Dorsey’s block and massive layoffs at Oracle, and the potential for “AI washing.”
Many technology companies hired aggressively during the pandemic, when online and digital activity boomed and companies struggled to keep up. At the same time, there are growing concerns that AI will reduce reliance on traditional software tools and erode the lucrative business of enterprise IT services. Although AI has not yet translated into measurable productivity gains, many companies are looking for ways to accomplish more with less.
Sea, which operates online retailer Shopee and gaming platform Garena, is undergoing a structural transformation after chief executive Forrest Lee declared that doubling its AI could bring it to a market capitalization of US$1 trillion. It joins a growing number of companies like rival Alibaba Group Holding Ltd. that are investing in AI to fuel growth as competition in their core businesses intensifies.
A Sea spokesperson said the company regularly reviews and adjusts its staffing needs. “These decisions are always taken after careful consideration. For our colleagues affected by the changes, we are committed to providing support during this transition period.”
The company’s stock price has fallen since September (when it was valued at about $116 billion) as this year’s soaring oil prices dampened consumer confidence and raised operating costs. Investors are now scrutinizing its growth trajectory.
Sea has historically embedded AI in small ways such as product recommendations and merchant tools.
In February, the company announced it would work with Alphabet Inc.’s Google to integrate AI across its operations, including developing an AI shopping agent. As the Singapore-based company looks for its next growth engine beyond e-commerce, it has also set up a dedicated team to find new investments in new technology, people said in May. bloomberg
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