Panasonic Holdings has announced a major restructuring plan that will see the company reduced its workforce by 10,000 employees. Job Cuts are part of the latest strategy of Japanese electronics giants, which are no longer contributing significantly to the development that are no longer contributing to development.

According to Bloomberg, trimming will affect 5,000 employees in Japan and 5,000 other workers in their international subsidiaries. Most job cuts ending March 2026 will be within the current financial year. As part of this massive reorganization, Panasonic is expected to take a hit of about 130 billion (about $ 895 million) once.

The Osaka-based group is allegedly trying to increase its return to equity by at least 10 percent by March 2029. To reach this goal, Panasonic is aiming to reduce or reduce its appearance in areas that no longer show strong growth ability. These include sections such as industrial equipment and television manufacturing-two businesses that have been part of the company’s identity for a long time, but are now seen as less attractive in today’s rapidly developed technical scenario.

Panasonic is also planning to emphasize more on emerging technologies, especially artificial intelligence, to run future innovations. The company hopes that a lean organizational structure will allow the IT to reuse more efficiently and become more agitated in response to the global market demands.

This step by Panasonic reflects a comprehensive trend seen in the global technology sector, where major companies are shedding jobs and piving towards AI and digital changes. For example, Google recently placed around 200 employees from its global trade unit, which handles sales and partnerships. Earlier, the company had already trimmed employees from its pixels, chrome and Android teams. These decisions are part of a comprehensive effort to reduce spending on heritage businesses and invest more in AI development and cloud infrastructure.

Other technical veterans are following the suit. Meta is cutting underperforming roles, Microsoft has reduced the headcount in its Xbox division, and Amazon has also reduced operations in many departments. Even Apple, known for its cautious approach to the work change, has allegedly allowed some employees from their digital service team.

For Panasonic, this restructuring is an important step in reproducing itself for the next stage of technological development. With an enlarged focus on profitability and innovation, the company is betting on a future that depends more on AI-operated solutions than traditional hardware products.