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Estimates of AI’s productivity boost may be way over the top.
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In today’s edition:

Productivity dip

Groovin’ and improvin’

Layoff survival

—Eoin Higgins, Brianna Monsanto

IT STRATEGY

AI in boardroom illustration

Aleksei Morozov/Getty Images

Is AI really delivering what the C-suite is expecting?

Not when it comes to productivity. Meta is instructing employees developing the Metaverse to use AI to “go 5x faster,” even though that expectation is unlikely to line up with the technology’s actual capabilities.

That’s been the promise and reality of AI for years. The technology has been hyped, often beyond its actual capacity, and while it can be helpful, productivity gains of around 500% are unlikely—for now.

Propel Software CEO Ross Meyercord said Meta’s demand of its workers is likely more of a “stretch goal” than a realistic expectation.

“You need to think of it as 5x versus how can you go find me 10%—it fundamentally forces you to think about the problem differently,” Meyercord said. “If I need to achieve 5x productivity improvement, I have to fundamentally blow up the existing process and start from scratch.”

Hear about why the estimates for productivity aren’t likely.EH

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IT OPERATIONS

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Afry Harvy/Getty Images

Like newlyweds-to-be reciting vows on their wedding day, CIOs believe agentic AI has changed them for the better.

According to Salesforce’s second annual CIO study, which queried 200 global CIOs, some 61% of CIOs claimed to improve their leadership skills in preparation for agentic AI. More than half (57%) also said they boosted their storytelling and communication skills, as well as their communication and change management abilities (55%) for the tech.

In a Nov. 12 media briefing, Salesforce CIO Daniel Shmitt shared how his own storytelling skills have evolved because of the emerging technology. Shmitt was joined on the call by Adobe Population Health CIO Alex Waddell and DeVry University CIO Chris Campbell.

“A huge part of my job has become about enabling employees and helping them understand that AI can complement the work they do and isn’t here to just replace them, used correctly,” Shmitt said during the call.

How agentic AI has helped some CIOs improve their soft skills.BM

IT STRATEGY

Graphic of a laid-off worker leaving their desk.

Hannah Minn

It’s a day every IT pro dreads: hearing about layoffs within your company, then being summoned into an HR manager’s office and being dismissed.

The tech industry is going through a purge. Earlier this week, IBM announced plans to layoff a portion of its workforce. Meanwhile, Amazon shared plans to axe 14,000 employees and Meta let go of 600 workers from its AI unit last month. After a layoff comes the uncomfortable question: “What’s next?” For most, it’s dusting yourself off and looking for a new opportunity. According to Overture Partners CRO Mark Aiello, that can be a grueling process.

“Definitely no one ever went to bed on Sunday night saying, ‘Hey, I get to look for a new job. Tomorrow is going to be great!’” Aiello said.

Here’s how to avoid ghosting recruiters and how to network with others.BM

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PATCH NOTES

Picture of data with "Clean Me" written on it + bottle of cleaner in front of it, Patch Notes

Francis Scialabba

Today’s top IT reads.

Stat: 4,000 to 6,000. That’s how many employees HP plans to lay off by the end of FY 2028 to support AI deployments. (Ars Technica)

Quote: “I see no change in anyone’s lifestyle. No one’s taking a holiday. People don’t have time for their friends, for their hobbies, for…the people they love.”—Madhavi Sewak, a senior leader at Google DeepMind, on how tech pros working on AI might be overworked (The Guardian)

Read: Flock, an automatic license plate reader and AI-powered camera company, accidentally shared training materials exposing its significant overseas workforce. (404 Media)

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