Markets are finally beginning to sour on AI. Oracle has been on a steady decline since the share price spiked in September after they announced a deal with AWS. Oracle also sold billions in bonds to finance its AI and needs to do a lot of belt tightening to keep bondholders (and shareholders) happy.
There is a lot of talk in the tech sector whether this round of layoffs is just typical corporate downsizing as tech companies have become bloated or whether AI is really driving layoffs. It is probably the former because AI really isn't to the point where it can replace vast numbers of workers. At best, AI boost productivity a bit by being able to put together data, code and perform some tasks that were previously left up to people to perform. But even then, people are reporting that there is probably a net productivity gain of zero because people have to spend a decent amount of time watching over and cleaning up messes left by AI.
I recent had a tech product I bought break after just over a month. I contacted the company to make a warranty claim. I was clearly dealing with an AI bot in making the claim. The AI bot first said that the serial number I provided was incorrect. It wasn't. Then it said that the proof of purchase I had from Best Buy did not have the complete date. It did. You just have to click on the email header to expand it to see the full date. After that, the AI bot then told me I needed to do a hard reset to try and fix the problem. But that is what the AI bot told me to do when I first contacted the company for support and I already told it that the reset did not work despite multiple attempts. The AI bot then told me I had to escalate and call the 1-800 number. I talked to a real human who sent me a replacement. So, in the end, the AI bot took numerous tries to sold a simple problem, had multiple errors and then everything was handled in a 5 minute phone call with a human who probably made $15-20 hr. The interactions with the AI bot probably cost more.
But he is going to bring back coal! All those laid off tech workers can now mine coal. Although he promised to bring back coal in his first administration, so I have my doubts
But he is going to bring back coal! All those laid off tech workers can now mine coal. Although he promised to bring back coal in his first administration, so I have my doubts
But he is going to bring back coal! All those laid off tech workers can now mine coal. Although he promised to bring back coal in his first administration, so I have my doubts
Nike Icon Studios LA is the flagship studio housing the company's Global Brand Imaging operations. Facilitating a diverse range of photography and imaging capa???
Of course there's a silver lining. Tech workers who get laid off can take the jobs vacated by illegal immigrants doing roofing, meatpacking, landscaping, cleaning, and doing agricultural labor. It's the American dream!
AI Overview reports, with applicable sections bolded, as follows:
"recent, widespread tech layoffs are being driven by a combination of factors, with new U.S. tariffs and increased operating costs being a significant contributor, alongside a massive push to reallocate resources toward artificial intelligence (AI). Reports from late 2025 and early 2026 indicate that many companies are citing higher operational expenses, partially caused by a barrage of new tariffs, as a reason to reduce their workforces, alongside structural changes. Here is a breakdown of why recent tech layoffs are happening: 1. The Impact of Tariffs and Rising Costs Increased Operating Costs: Tariffs, particularly those initiated under the Trump administration in 2025/2026, have raised the cost of importing key components like semiconductors, routers, and server hardware. Supply Chain Disruptions: The tariffs have resulted in increased supply chain costs for 65% of surveyed professionals, causing companies to cut jobs to offset these higher expenses. Manufacturing Decline: Manufacturing-related roles have seen continued declines, with 72,000 positions lost following the announcement of "Liberation Day" tariffs in early 2025."
AI Overview reports, with applicable sections bolded, as follows:
"recent, widespread tech layoffs are being driven by a combination of factors, with new U.S. tariffs and increased operating costs being a significant contributor, alongside a massive push to reallocate resources toward artificial intelligence (AI). Reports from late 2025 and early 2026 indicate that many companies are citing higher operational expenses, partially caused by a barrage of new tariffs, as a reason to reduce their workforces, alongside structural changes. Here is a breakdown of why recent tech layoffs are happening: 1. The Impact of Tariffs and Rising Costs Increased Operating Costs: Tariffs, particularly those initiated under the Trump administration in 2025/2026, have raised the cost of importing key components like semiconductors, routers, and server hardware. Supply Chain Disruptions: The tariffs have resulted in increased supply chain costs for 65% of surveyed professionals, causing companies to cut jobs to offset these higher expenses. Manufacturing Decline: Manufacturing-related roles have seen continued declines, with 72,000 positions lost following the announcement of "Liberation Day" tariffs in early 2025."
Nope. Tariffs do not cause layoffs at software companies. However, what might be causing layoffs are all the new business taxes in Washington that you voted for.
Nope. Tariffs do not cause layoffs at software companies. However, what might be causing layoffs are all the new business taxes in Washington that you voted for.
Facts. The crime syndicate, (D), loves more taxes and Fantasyland ideas. Check out that new governor in Virginia, days after being sworn in a whole bunch of new taxes coming for taxpayers. LOL. California is one step closer to taxing drivers 2-4 cents per mile driven. Muh taxes, the Syndicate loves them. In related news Seattle sucks. Rain and cold. Here's to tents on sidewalks, open-air drug use, homeless vagrants, and everything locked up at the local cvs/wherever.
Add these layoffs to the pile of 275,000 tech layoffs in the last two years. It is not a good time to be in tech. Almost none of these people being fired will find jobs in tech anytime soon.
Markets are finally beginning to sour on AI. Oracle has been on a steady decline since the share price spiked in September after they announced a deal with AWS. Oracle also sold billions in bonds to finance its AI and needs to do a lot of belt tightening to keep bondholders (and shareholders) happy.
There is a lot of talk in the tech sector whether this round of layoffs is just typical corporate downsizing as tech companies have become bloated or whether AI is really driving layoffs. It is probably the former because AI really isn't to the point where it can replace vast numbers of workers. At best, AI boost productivity a bit by being able to put together data, code and perform some tasks that were previously left up to people to perform. But even then, people are reporting that there is probably a net productivity gain of zero because people have to spend a decent amount of time watching over and cleaning up messes left by AI.
I recent had a tech product I bought break after just over a month. I contacted the company to make a warranty claim. I was clearly dealing with an AI bot in making the claim. The AI bot first said that the serial number I provided was incorrect. It wasn't. Then it said that the proof of purchase I had from Best Buy did not have the complete date. It did. You just have to click on the email header to expand it to see the full date. After that, the AI bot then told me I needed to do a hard reset to try and fix the problem. But that is what the AI bot told me to do when I first contacted the company for support and I already told it that the reset did not work despite multiple attempts. The AI bot then told me I had to escalate and call the 1-800 number. I talked to a real human who sent me a replacement. So, in the end, the AI bot took numerous tries to sold a simple problem, had multiple errors and then everything was handled in a 5 minute phone call with a human who probably made $15-20 hr. The interactions with the AI bot probably cost more.
Deepseek made AI LLM invented by Google in 2014 a common opensource platform trainable by a plethora of $1,000.000 AI LLM R&D engineers all over the world.