Intuit, the enterprise software powerhouse behind household names like QuickBooks, TurboTax, and Credit Karma, has announced a significant workforce reduction. The company plans to lay off approximately 3,000 employees, representing about 17% of its global staff. This strategic move is designed to redirect resources toward the integration of artificial intelligence across its product suite and to simplify the company’s existing corporate structure.

CEO Sasan Goodarzi indicated that the restructuring aims to reduce organizational complexity, allowing the firm to focus more aggressively on AI-driven innovation. This shift mirrors a growing trend across the technology sector, where major players such as Microsoft, Meta, and Amazon have similarly restructured their workforces to prioritize investments in artificial intelligence infrastructure and services.

The decision comes despite a period of financial growth for the software giant. In its most recent fiscal second quarter, Intuit reported a 17% increase in revenue to $4.65 billion, alongside a 48% surge in net profit to $693 million. However, the company has faced challenges in the stock market, with its shares underperforming the broader S&P 500 over the last year. By pivoting now, Intuit seeks to address investor concerns regarding its ability to compete in an increasingly AI-centric software landscape.