Apple Puts 5,000 AppleCare AI Job Cuts on Hold

Apple has put on hold a plan to cut around 5,000 AppleCare customer support jobs and shift a large part of the work to AI agents, according to a Bloomberg report.

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Apple reportedly developed the plan over the summer as its AI-powered phone and web agents improved. The company believed the technology could handle some of the tasks currently performed by AppleCare support employees.

Many of the workers who could have been affected were home-based employees. However, Apple is not currently moving ahead with the proposed layoffs. The company has not publicly commented on the plan.

Apple Already Uses AI in Customer Support

The decision to pause the proposed job cuts does not mean Apple has stopped using AI for customer service.

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AppleCare calls in the US and Canada are already being routed initially to a generative AI voice assistant. The system can handle customer queries and support requests, with human advisors continuing to be part of the process.

Also Read: IBM Expands AI and Quantum Research Collaborations in India

AppleCare provides support for troubleshooting, repairs, account-related queries and service plans across Apple’s products.

The summer proposal would have expanded the use of AI considerably, allowing automated systems to take on more work currently handled by thousands of human advisors.

The report does not disclose why Apple decided to put the proposed job cuts on hold.

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Wider Workforce Changes Under John Ternus

The AppleCare decision comes as Apple undergoes broader organisational changes under CEO John Ternus, who took over from Tim Cook on September 1.

According to Bloomberg, Ternus is looking to reduce organisational layers and maintain a leaner workforce while focusing on engineering and product development. Some middle-management positions are being removed, with affected employees given time to find other roles within the company.

Smaller workforce reductions have also affected teams including Siri, Vision Pro, AI software and Fitness+.

Apple’s overall headcount is expected to remain broadly flat, meaning the company is likely to keep new hiring limited in some areas.

For AppleCare employees, the proposed 5,000 job reduction remains on hold for now. The longer-term impact will depend partly on how effectively Apple’s AI systems can handle customer support at scale.