The layoffs included employees in the Game Growth group, its San Diego gaming studios, and Prime Gaming, Amazon Games VP Christoph Hartmann wrote in the memo.
"To us, the lukewarm usage demonstrates that VR remains 'early days' and that these devices are less important than smartphones," Piper Sandler analysts wrote.
As Tesla ramps up production in new facilities, some investors worry that reaching the company's ambitious delivery targets will require more price cuts.
The chair of the House Select Committee on the Chinese Communist Party has previously said he wants Iger and Big Tech executives to testify before the panel.
The U.S. has been trying to rally key countries in the semiconductor supply chain, including Japan, around its sweeping chip export restrictions on China.
Tesla has issued a voluntary recall on the Semi, a first since the company began deliveries of the heavy-duty electric trucks to customers in December 2022.
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