[smueller1234]

It's actually quite likely something else (unless it's just an excuse to reap short term savings): in a company large enough, deciding to shift staffing from one area to another is hard. As an executive with thousands of staff, you can tell your management team to each cough up a certain number or (somewhat) suitably qualified people. But again, if large enough, incentives diverge, so you don't necessarily end up with the top talent you thought you needed for your big new thing.

An "easy" solution is to do a layoff, then open roles elsewhere, allowing for selection.

It's commonly practiced across the large companies in the industry.

(Not speaking for my employer)