Google has reportedly laid off around 25% of its Google TV team, following a 10% budget cut to its smart TV division, as the company shifts its focus to AI and YouTube.

The restructure, first reported by The Information, affects roughly 75 roles from a 300-person team and signals a slowdown in development for Google TV and Android TV platforms, which are used by TV makers including Sony, TCL, Hisense, and Philips, as well as in Chromecast devices.

Despite the cuts, Google insists it remains committed to the TV space.

A spokesperson said the company is “continuing to invest in Google TV with new user experiences,” pointing to upcoming integration of its Gemini AI platform and other features set to arrive in Android TV 16.

Google’s internal resources are reportedly being redirected to YouTube, which is due for a major redesign on TVs, aiming to bring it closer to streaming streaming services like Netflix and Disney+.

In recent years, critics have flagged Google TV’s lag in innovation compared to Apple’s tvOS, with the platform focusing more on ad monetisation than new user features.

In the US, users have reported full-screen ad takeovers and growing ad frequency. That trend could expand globally as Google looks to grow its ad-supported content offerings.