SAN FRANCISCO (KRON) — San Francisco-based cryptocurrency company Coinbase is the latest tech company to lay off employees, cutting hundreds of jobs, according to The New York Times. The move contributes to a worrying trend fueled by the rise in artificial intelligence.
The Enderle Group Principal Analyst Rob Enderle called the situation “unfortunate.”
“It’s the cost of AI that’s causing the income statements to get out of whack,” he said. “And so companies are looking to do layoffs to recover costs. It’s unfortunate companies often treat employees like (a) flexible cost.”
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Enderle said he followed the growing waves of layoffs at companies like Coinbase, which reportedly laid off 700 people. Meta, which laid off 8,000, is concerning for employees promised that AI would help and not harm their careers…