I work in the core of AWS. Sure, we've lost head count, but I wouldn't expect more outages, at least in the core EC2/VPC space. All the really tenured folks we absolutely need are here in my and adjacent orgs--they're getting promotions, in fact. Really, what the loss in head count changes is what our teams can work on. Less new exciting stuff we can resource--just focus on security, ops, bug fixes, etc. Also, maybe more leverage for the engineers that are still here? :)
It would be nice if AWS finally stated that we can only count on EC2, but that Fargate and Cloudwatch are not supported any more and could be subject to outages.