IBM to Cut Thousands of Workers Amid A.I. Boom

IBM plans to cut thousands of workers as it reorients its business towards high-growth areas such as artificial intelligence consulting and software. The technology company indicated that the layoffs would affect a small percentage of its global workforce, which numbered 270,000 employees at the end of the previous year. While cuts are expected, the number of employees in the United States is projected to remain stable. This move by IBM aligns with a broader trend in the tech industry, where companies like Amazon, Meta, and Google are also reducing staff while increasing investments in artificial intelligence. Executives anticipate that AI technologies will enhance efficiency by assisting employees with tasks like coding. However, the ultimate profitability of AI products, such as chatbots, remains uncertain, and some experts caution about a potential market bubble. IBM recently reported a 9 percent increase in sales for the June-September quarter, surpassing analyst expectations. The company's Chief Financial Officer noted evidence of accelerating AI adoption among major corporations, with approximately 80 percent of their AI consulting and software clients being new in the last six months. Bookings for IBM's AI consulting and software ... download the app to read more