Shopee cuts hundreds of developer jobs globally as parent company Sea pivots toward AI
E-commerce giant Shopee has laid off hundreds of software engineers globally, representing about 8% of its developer workforce, as parent company Sea intensifies its focus on artificial intelligence. The cuts come after a regular business review, with affected Singapore employees receiving N+2 severance packages and advance notification provided to relevant unions. The layoffs reflect Sea's strategic shift toward AI as a growth driver beyond e-commerce, with the company establishing an AI Centre of Excellence in Singapore and committing significant capital to internal and external AI projects.
Shopee, Southeast Asia's dominant e-commerce platform headquartered in Singapore, has conducted layoffs affecting hundreds of developers globally, approximately 8% of its developer workforce, according to Bloomberg reporting confirmed by Channel NewsAsia. The company stated the cuts followed a regular assessment of staffing needs and operational priorities. In Singapore specifically, affected software engineers were notified on Monday through instant messaging and subsequent HR meetings, with no company-wide announcement made to all staff. Affected employees receive N+2 severance (one month per year of service plus two additional months). The layoffs align with parent company Sea's strategic pivot toward artificial intelligence, with CEO Forrest Li emphasizing in 2025 that a trillion-dollar valuation is achievable through doubling down on AI. Sea established an AI Centre of Excellence in Singapore in April and has committed capital to both internal and external AI initiatives. The company reported higher profits in Q1 2026 while operating expenses surged 43.4% year-on-year to US$2.6 billion, reflecting the significant investment in AI and other growth areas beyond e-commerce.
What's missing
The article does not specify the total number of employees affected in Singapore specifically, only that Bloomberg reported hundreds globally (8% of developer workforce). The exact timeline for when these layoffs will be completed is not provided. Additionally, while the article mentions Sea's Q1 2026 financial results, it does not provide context on how developer layoffs might impact the company's ability to execute its AI strategy or whether there are plans to hire AI-specialized roles to offset these cuts.
What different sources said
- Channel NewsAsiaCenter
Shopee slashes jobs in Singapore amid AI push; software engineers among those affected
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