Best Buy, a Minnesota-based retail giant, has made significant changes in its operational strategy, resulting in the layoffs of Geek Squad field agents, among others, as the company focuses on embracing artificial intelligence (AI).
This move is part of Best Buy’s broader restructuring initiative to optimize resources and adapt to shifting market demands.
Driving the news: Best Buy has not disclosed the exact number of employees affected by the layoffs, but it has assured impacted employees that severance packages will be provided, and some will have opportunities for job transfers or reapplication within the organization.
- The decision to downsize certain departments aligns with Best Buy’s efforts to reallocate resources towards strategically important areas for future growth and scale back operations in segments facing declining demand.
- Best Buy let go of roughly half of its in home Geek Squad agents in the Fresno and Clovis area, most of whom were senior installers that have been with the company for over half a decade sources told The SJV Sun.
- The layoffs in the tech industry, including those at Best Buy, indicate a larger trend of declining “thinking” jobs as AI continues to rise.
State of play: Best Buy aims to introduce AI-powered virtual assistants, developed in collaboration with Google and Accenture, to enhance customer service functions such as order tracking, membership assistance, and product issue troubleshooting.
- The implementation of AI also extends to their customer support infrastructure, where virtual Geek Squad agents will provide real-time assistance for technical queries and product-related issues.
- Best Buy is exploring new avenues for growth, including leveraging the expertise of Geek Squad agents to support Best Buy Health, a business segment focused on delivering medical technology solutions for in-home healthcare services.
