Breaking news

Google Streamlines Management To Boost Efficiency Amid AI Competition

In a move to improve efficiency, Google has reduced its top management positions by 10%, CEO Sundar Pichai revealed during an all-employee meeting. This decision is part of the company’s ongoing efforts to simplify operations and drive productivity.

According to sources who attended the meeting, Pichai explained that the company has been making strategic changes over the past few years to enhance its efficiency. These changes include cutting 10% of management roles, such as managers, directors, and vice presidents. Some positions have been shifted to individual contributor roles, while others were eliminated.

This efficiency drive is part of a broader initiative that began more than two years ago. In September 2022, Pichai set a target for Google to become 20% more efficient. The company’s push towards streamlining operations reached a peak in January 2023, with the announcement of a historic round of layoffs that saw 12,000 jobs cut.

These efforts are occurring in parallel with increasing competition from artificial intelligence startups like OpenAI, which are challenging Google’s dominance, especially in the search engine space. In response, Google has introduced a series of generative AI features, such as an advanced AI video generator that outperformed OpenAI’s in early tests, as well as the launch of its Gemini models, including one designed for reasoning and demonstrating the AI’s thought process.

MENA Tech Index Fell 4.6% In July, But Outperformed Global Tech

The MAGNiTT Tech Index fell 4.6% in July, marking its second consecutive monthly decline as technology stocks weakened across global markets. MGTI closed the month at 165.24, down 4.76% in 2026 and 24.88% from its January 2025 peak.

Despite the decline, the index remained 65.24% above its January 2023 inception level. Its lower correlation with global technology benchmarks also limited its exposure to the broader technology sell-off.

Saudi Technology Stocks Lead The Decline

Saudi technology companies accounted for much of July’s decline. Nice One fell 21.3%, Jahez dropped 17.2%, and Rasan declined 15.7%, while Talabat gave back part of its second-quarter recovery.

Only three of the index’s 15 constituents ended July higher. MGTI also underperformed regional equity markets, with Saudi Arabia falling 1.89% and Dubai declining 2.69% during the month.

MGTI Shows Lower Correlation With Global Tech

July marked a reversal in global technology stocks, with MSCI EM IT falling 12.81% and MSCI ACWI IT declining 5.64%. MGTI’s lower correlation with those benchmarks limited the decline, with a correlation of 0.36 to MSCI EM IT.

The index also has limited exposure to semiconductors and large-cap AI companies that have driven much of the recent global technology rally. Its performance therefore differs from the broader global technology cycle.

MGTI Remains Above Its 2023 Level

MGTI has gained 65.24% since its January 2023 inception despite its recent declines. The index entered August down 4.76% for 2026 and nearly 25% below its January 2025 peak.

The MAGNiTT Tech Index July 2026 Monthly Update includes constituent-level performance, regional and global benchmark comparisons, and data on correlation, beta and volatility.

Uol
The Future Forbes Realty Global Properties
eCredo
Aretilaw firm

Become a Speaker

Become a Speaker

Become a Partner

Subscribe for our weekly newsletter