Google cancels 50% of Area 120 projects to cut costs

Google has been working to reduce costs in an effort to guarantee operational effectiveness. As a result, the tech giant chose to concentrate on AI-first solutions and cancel half of the projects that its staff at Area 120 were working on.

Google’s R&D division, Area 120, gives staff members the chance to work full-time on their innovative concepts. The staff has succeeded in developing a number of fascinating features and novelties. In order to move the team’s attention to AI-related initiatives, 50% of its projects have now been cancelled in addition to the team’s size reduction.

This indicates that there are currently only seven projects being worked on by the division, as opposed to the 14 projects it was previously working on. The employees whose work was on the cancelled projects at Area 120 have been told of the decision to scale back, and it is said that they have been instructed to hunt for other projects to work on at Google by January 2023.

According to reports in the media, they might be forced to leave if they don’t comply. Many popular products, including GameSnacks, Tables, AdLingo, Touring Bird, Byteboard, Tangi, and Shoploop, were created by Area 120. Projects that were cancelled included ones that dealt with initiatives in the areas of shopping, climate, analytics for augmented and virtual reality, financial accounting (for Google Sheets), and analytics.

This is not particularly surprising given the recent emphasis on productivity by the Google CEO. He had previously stated that the Company might need to reorganise teams and even let some employees go.