Not a day goes by without a tech company announcing major job cuts. Today Paypal and Block (both payment service providers) have announced a total of 3500 job cuts, and recently Salesforce, Microsoft, SAP, Google, Ebay etc. have also done so. According to
https://layoffs.fyi, 25,000 documented tech jobs have already been cut this year.
What do you think? Is it just a shrinkage and normalization after the strong build-up of the workforce during Corona or a long-term trend that will accelerate through the use of AI?
The new tech market is being saturated. Smartphone and internet are now available to almost everyone. Social media too are saturated, the growth of facebook and x is stagnant. There's some growth potential in Africa but most of it is already covered. Online shopping is also covered and there are not much to grow.
With the emergence of AI, many job positions are obsolete. Robots are delivering and AI is running taxis. The economic slowdown quickened the replacement of human with automation, robots and AI.
This is a long term trend. The demographics is also on a down trend. The current generation might have some problems coping with change in jobs but the replacement of AI and robots are good for the future of humankind.