eBay to cut 800 jobs in latest workforce reduction: Report

eBay will cut about 800 roles globally, roughly 6% of its workforce, as the e-commerce company restructures to focus on strategic priorities and artificial intelligence investments, according to media reports.

The layoffs, announced Thursday, will affect teams across the organisation and reflect changes to eBay’s operating model, including areas of duplication and alignment with future priorities. The company reported 12,300 employees worldwide as of December 31, 2025, according to its latest annual filing.

“We are taking steps to reinvest across our business and align our structure with our strategic priorities, which will affect certain roles across our workforce,” an eBay spokesperson said in a statement. “We are grateful for the contributions of the employees impacted and are committed to supporting them with care and respect.”

The job cuts come as eBay continues to ramp up spending on artificial intelligence and automation. The company has been rolling out AI tools internally and embedding the technology across buyer and seller experiences, while also partnering with OpenAI on an agentic web browser initiative.

The strategic shift reflects intensifying competition from larger rivals such as Amazon and Walmart, as well as fast-growing online marketplaces including Etsy, TikTok Shop, Temu and Shein.

The workforce reduction comes days after eBay announced plans to acquire secondhand fashion platform Depop from Etsy for about $1.2 billion in cash. The deal is expected to bolster eBay’s position in fashion and deepen engagement with younger consumers, nearly 90% of Depop’s users are under 34.

CEO Jamie Iannone said the acquisition will help expand eBay’s presence in fashion, one of its fastest-growing categories. The company has also been prioritising so-called “focus categories,” including collectibles, auto parts and refurbished goods. In its latest quarterly results, gross merchandise volume from these categories grew more than 16% year over year.

This marks eBay’s third round of layoffs since 2023, following cuts of about 500 roles in early 2023 and roughly 1,000 positions in early 2024, underscoring the company’s ongoing efficiency drive even as it invests in new technologies.

Separately, earlier this week eBay reached a settlement with Massachusetts couple David and Ina Steiner, who had sued the company over a harassment campaign carried out by former employees. Terms of the settlement were not disclosed.

Despite the restructuring, eBay recently reported quarterly revenue of about $3 billion, beating Wall Street expectations, as the company balances cost discipline with growth investments in AI and recommerce.