Tech industry cites AI reason behind major layoffs
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As a result of artificial intelligence, the tech industry, which created it, laid off thousands of people in 2023. 

With AI’s potential to take over jobs, alarm bells are already ringing, but it has already caused a disturbance in the tech industry that created it. reports that the tech industry has laid off 212,294 workers in 2023 alone, up from 164,709 in 2022. 

According to CNN, several tech companies are rethinking new hires because of AI, as a result of the major layoffs.

In order to better execute its AI strategy and to create long-term, sustainable value for its students and investors, education technology company Chegg announced it was letting go 80 or 4% of its employees.

CEO Arvind Krishna told Bloomberg in an interview that IBM may stop hiring for roles that AI could replace in the future.

He later stated, “AI will create more jobs than it will destroy”.

The file-storage company Dropbox announced in April that it was cutting 16% of its workforce due to artificial intelligence.

A tech outplacement firm, Challenger, Gray & Christmas, laid off 3,900 employees as a result of artificial intelligence.

In a note to his staff regarding the job cuts, Dropbox CEO Drew Houston wrote: “Over the last few months, AI has captured the world’s collective imagination, opening up an unprecedented market for our next generation of AI-powered products.

The next stage of our growth requires a different mix of skills, particularly in AI and early-stage product development.”

Professor Dan Wang of Columbia Business School told CNN that artificial intelligence will cause organizations to restructure, but he does not see them replacing workers.

In Wang’s opinion, AI does not necessarily replace humans, but rather enhances their work. We should be more concerned about the fact that human specialists will be replaced by human specialists who can take advantage of AI tools.