Alex Ossola

CEO Andy Jassy has portrayed the cuts as an attempt to reinvigorate the company's culture rather than to cut costs.

Amazon went on a hiring spree during the pandemic, adding about 100,000 workers in a short period.

And Jassy's said that surge in hiring led to bloat at the company.

He's promised to operate like a startup, and that means, quote, removing layers.

And Starbucks said today that its same-store sales grew 4 percent and revenue increased 6 percent in the latest quarter.

CEO Brian Nichols says his turnaround strategy is working, but profit declined 62 percent, taking a hit from those investments in stores and workers and from coffee tariffs.

And we have some headlines for big tech earnings that came out after the bell.

Tesla's revenue fell 3% as it lost its lead as the world's top electric vehicle maker to China's BYD.

While Meta said it had record sales and expects a massive increase in projected spending this year, a sign that its AI investments are still going strong.

And Microsoft reported better than expected earnings because of its new deal with OpenAI and continued growth in its cloud computing business.

For more details, visit WSJ.com.

And we'll be discussing those results on tomorrow morning's show.

Coming up, what's drawing investors to AI startups with no product or revenue?

And President Trump's ultimatum for Iran.

That's after the break.

There's a new kind of startup getting attention in Silicon Valley.

These companies don't have any products or any revenue, but they've got eager investors.

And some of these companies are valued at a billion dollars or more.

The industry is calling these startups Neolabs.

And Kate Clark, who covers startups for the journal, says that they're riding the AI wave in a different kind of way.