For IT leaders, a new conundrum is emerging: Do you hire specialized professionals, or burn through the IT budget on AI tokens? While some companies are replacing workers with AI, other leaders are deciding they need humans in seats to meet their IT goals. According to executive outplacement firm Challenger, Gray & Christmas, AI is the most cited reason for the recent burst of tech layoffs, which hit 97,000 in May. One example is crypto exchange Coinbase, which laid off 14% of its staff at the beginning of May, reportedly in response to market conditions and the rise of AI. In an X post, Coinbase CEO Brian Armstrong described how the company is embracing “reduced pod sizes, including ‘one person teams’ with engineers, designers, and product managers all in one role.” Meta also cited AI in its decision to reduce its workforce by approximately 10% in May, along with roughly 8,000 employees expected to see their roles eliminated as a result of the technology, NPR reported. To hire or not to hire?—CN |