Introduction
Amazon is preparing for an unprecedented revolution in the American workplace landscape. Internal strategy documents, reviewed by The New York Times, reveal that the e-commerce giant plans to replace over 600,000 job positions with advanced robotic systems within the next decade. A transformation that will redefine the very concept of warehousing and logistics, with profound impacts on blue-collar employment across the United States.
Amazon's Automation Blueprint
Amazon's automation strategy is as ambitious as it is controversial. The company's robotics team anticipates avoiding the hiring of approximately 160,000 people by 2027, positions that would otherwise be necessary to manage operational growth. The estimated savings amount to roughly 30 cents per item handled, from packing to final delivery.
But the long-term objective is even bolder: executives have informed the board of directors that, despite expecting to double sales by 2033, they intend to maintain a stable U.S. workforce through robotic automation. This translates to over 600,000 workers that Amazon will not need to hire.
The robotics team has set an ambitious target: automating 75 percent of overall operations. In facilities designed for ultra-fast deliveries, Amazon is experimenting with warehouses that employ very few humans, aiming for what internal documents describe as "near lights-out automation."
The Robots Transforming Amazon
Amazon has developed an entire ecosystem of specialized robots, each designed to tackle specific challenges in the logistics chain. The company's approach categorizes operations into six types of automation: movement, manipulation, sorting, storage, identification, and packing.
Current Generation Robots
Amazon's most advanced warehouse, located in Shreveport, Louisiana, represents the testing ground for this automated vision. Here, employees intervene only at a few stages of the process, such as the initial unpacking of incoming products. After that moment, robots dominate the scene.
Sparrow is a robotic arm equipped with computer vision that identifies items inside bins, grasps them with suction cups, and moves them to other containers. Robin places packed packages on small mobile robots called Pegasus, which transport packages to specific chutes based on shipping destination.
Below these chutes operates Cardinal, a hefty robotic arm that picks up sealed boxes and stacks them in carts like a three-dimensional Tetris game. Finally, Proteus, a tortoise-looking robot, slides under loaded carts and autonomously transports them to shipping docks, lighting up with a smile when it encounters human workers.
The Sequoia System
Amazon has completely reimagined item storage and movement with the Sequoia system. The old shelves with fabric-fronted cubbies, where workers had to fish around for products, have been replaced by plastic bins that slide robotically in and out of automated structures. Computer vision identifies items from above, and robotic arms move them with millimeter precision.
Evolution from 2012 to Today
Amazon's automation journey began in 2012 with the acquisition of Kiva, a company manufacturing squat, circular robots capable of lifting entire shelves and transporting them to workers. Since then, Amazon has developed a family of robots with names inspired by Greek mythology: Hercules for moving heavy carts, Pegasus for sorting packed orders.
Tye Brady, chief technologist at Amazon Robotics, explained that the company aims to have "world-class capability" in each of the six automation categories. This modular approach resolves a fundamental tension in robotic development: creating specialized systems with higher success rates, rather than complex all-purpose robots.
The Future of Amazon Automation
Internal documents reveal that Amazon is testing robotic arms to pick inventory for individual customer orders, one of the key tasks still performed by human workers. The "decanting" process—cutting open boxes, unpacking products, and getting them into bins—remains stubbornly manual. Robotic prototypes for this phase have not kept pace with the rest of the automated systems, as they require quality checks and shipment verification.
Artificial Intelligence and Next Generation
Amazon invested $400 million to acquire the founding team and license the technology of Covariant, a startup specializing in AI systems that act as a robot's "brain." Udit Madan, Amazon's head of worldwide operations, confirmed that the team has already improved the vision models of the Sparrow system, allowing the arm to better understand bin contents, which item to grasp, and where to place it.
These advanced systems are part of experiments to create a new generation of robotic arms, called Bluejay and Starling, capable of manipulating items and packages across a broader range of tasks and in different building types. In same-day delivery facilities, Amazon is experimenting with a system called Jupiter to store and robotically retrieve large quantities of inventory, though internal documents indicate it's still years away from the "near lights-out automation" goal.
Social and Economic Impact
The implications of Amazon's plans extend far beyond corporate boundaries. With 1.2 million U.S. employees—more than triple compared to 2018—Amazon is the nation's second-largest private employer. Its transformation could serve as a model for giants like Walmart, America's largest private employer, and UPS.
Daron Acemoglu, MIT professor and 2024 Nobel Prize winner in economics, observed that "nobody else has the same incentive as Amazon to find the way to automate." Once the company perfects these systems profitably, the technology will rapidly spread to other sectors. "One of the biggest employers in the United States will become a net job destroyer, not a net job creator," Acemoglu stated.
Communication Strategy
Documents show that Amazon has begun developing plans to mitigate consequences in communities that might lose jobs. The strategy includes building an image as a "good corporate citizen" through greater participation in community events such as parades and programs like Toys for Tots.
Particularly significant is the indication to avoid terms like "automation" and "artificial intelligence" when discussing robotics, preferring expressions like "advanced technology" or replacing the word "robot" with "cobot," which implies collaboration with humans.
Amazon's Response
Amazon stated that the documents reviewed by The New York Times were incomplete and did not represent the company's overall hiring strategy. Kelly Nantel, Amazon spokesperson, clarified that the documents reflected the viewpoint of one internal group, emphasizing that Amazon plans to hire 250,000 people for the holiday season, though it did not specify how many of those roles would be permanent.
The company also denied insisting that executives avoid certain terms and stated that community involvement is unrelated to automation. Udit Madan highlighted Amazon's long history of using savings from automation to create new jobs, citing the recent expansion of delivery depots in rural areas.
"That you have efficiency in one part of the business doesn't tell the whole story for the total impact it might have, either in a particular community or for the country overall."
Udit Madan, Head of Worldwide Operations / Amazon
Conclusion
Amazon's automation plan represents a turning point for the American labor market. While the company maintains that automation will create new opportunities in more technical and better-paid roles, the reality is that hundreds of thousands of traditional jobs could disappear. The challenge will be balancing operational efficiency with social responsibility, ensuring that communities dependent on Amazon employment are not left behind in this robotic revolution. The model Amazon is developing today will shape the future of logistics work for decades to come, with consequences extending far beyond the boundaries of its warehouses.
FAQ
How many workers does Amazon plan to replace with robots?
Amazon expects to avoid hiring over 600,000 people by 2033 through robotic automation, while doubling sales volume.
What robots does Amazon use in warehouses?
Amazon employs Sparrow and Robin to manipulate items, Pegasus to transport packages, Cardinal to stack them, and Proteus to move carts autonomously.
When will Amazon complete warehouse automation?
The goal is to automate 75% of operations, with 160,000 avoided hires by 2027 and full impact expected by 2033.
Will Amazon automation eliminate all human jobs?
No, Amazon claims it will create new, more technical and better-paid roles, but overall workforce won't grow proportionally to sales.
What does "near lights-out automation" mean for Amazon?
It refers to warehouses operating with minimal human intervention, where robots autonomously handle most logistics operations.
How much will Amazon save with robotic automation?
The company estimates savings of approximately 30 cents per item handled through automated picking, packing, and delivery processes.
How will Amazon affect the American job market?
As the second-largest private employer in the U.S., Amazon's automation strategy could serve as a model for other major companies like Walmart and UPS.
What AI technologies does Amazon use for robots?
Amazon invested $400 million in Covariant for AI systems that act as robotic "brains," improving vision and object manipulation capabilities.