Tech Layoffs Rise as Companies Invest in AI

View profile for Vaibhav Pansambal

Co-founder | Startup Consultant | Tech Consultant | We help Product Managers and Innovation Managers to launch products in 10 weeks.

AI Won’t Replace You, But Its Implementation Cost Might. This year, the tech world is seeing a paradox play out in real time, companies are investing billions in AI while laying off thousands of talented professionals. Oracle just cut 10% of its India workforce, Microsoft has trimmed more than 15,000 globally, and the story is similar across the industry. The common thread? Massive investments in AI, cloud infrastructure, and automation. It’s a tough reality. The cost of building and running next-generation AI isn’t just technical, it’s financial and organizational. For many companies, that means cutting headcount to free up capital for data centers, compute power, and the R&D needed to stay at the edge. Ironically, it’s often not “AI replacing jobs” overnight, but the huge expense of deploying AI that pushes these tough decisions. We’re told that tech innovation should create opportunity, but for many right now, it feels like the opposite. As we double down on AI, the premium will move to those who can build or apply these systems, while many roles get streamlined or automated. Are we heading into a more productive, creative era? Or just a leaner one? How is your organization navigating this transition, and do you see AI as a threat, an opportunity, or both? #AI #TechLayoffs #DigitalTransformation #FutureOfWork

Daniel N.J. Halbert

🎧 Artist | Full-Stack Music & Video Producer | Founder of Lark × Skylark | Helping Artists & Brands Turn Sound into Strategy

1mo

You're right—AI won't replace you, but implementing it isn't cheap. Beyond compute, success requires investing in people, governance and sustainable infrastructure. The MIT NANDA study found that 95% of gen-AI pilots fail because teams underestimate integration and change management. At the same time, companies are pouring billions into AI data centres, from North Dakota to Mexico, to meet rising demand. The question is how to align these investments with real value while ensuring energy efficiency and ethics. What trade-offs are you seeing between AI innovation and implementation cost? Follow me and subscribe to my newsletter for more insights.

Nayan A Gupta

Module Lead Software Engineer | Wordpress backend developer | 8+ Years of Experience

1mo

Nowadays, the AI revolution feels very similar to the computer revolution. It is transforming the entire work culture. Just like in the past—when only those who learned computers could sustain their jobs—the same is happening now with AI. AI is a tool, and both companies and developers need to learn how to use it effectively. From a developer’s perspective, this is a challenging time. Earlier, experience played a bigger role in delivering tasks. But now, even with less experience, if you know how to leverage AI and deliver results, you are in higher demand. From a company’s perspective, projects are getting completed faster, and some tasks are handled directly by AI, reducing workload. Both companies and developers need to rethink their approach and adapt to an AI-driven environment.

Arindam Banerjee

CSPO | Full-stack Tester | API | AI Enthusiast | Prompt Engineering | 15+ yrs in End-to-End Test Management | Card & Payments | Fintech Testing | QA Leadership | Test Governance | Agile | Open to Opportunities in Dubai

1mo

"AI WONT REPLACE YOU" This is a very wrong statement ... Because AI has already replaced many of us.. it is just a statement by top management people to make you learn and work more with AI tools so that more data can be fed to the AI system and more people can be replaced. Think very smartly these AI systems works.. all because of huge data they have collected. And how this huge data has been gathered.. by capturing people's activity over the internet and different applications. But what the AI system is still lacking is the ability to think differently like humans. By using these AI tools, you are passing prompts which are nothing but to improve the results you are looking for. Systems are capturing these prompts and results and thus generating more data at the backend. Give another year and then we can discuss this again. Let's see how many people speak this statement again.

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