International analyst Greg Boland talked with Proactive about the wave of mass layoffs hitting major technology firms, including Amazon, Microsoft and Meta. These job cuts, exceeding 150,000 roles in 2025, represent the fastest pace of layoffs in over two decades — a signal, Boland says, of how artificial intelligence is rapidly reshaping business models across industries.
“AI is definitely one of the key reasons,” Boland stated. He explained that while some companies may be using AI as a cover for broader cost-cutting, the shift is genuine and significant. Companies are redirecting investment into AI infrastructure, often at the expense of human roles — a shift exemplified by Salesforce laying off 4,000 customer service staff in September, stating AI could perform 50% of that work.
Boland broke down AI-related spending by the Magnificent Seven tech stocks, estimating a combined US$385 billion to be spent by 2025, with Microsoft, Alphabet and Meta alone forecasting AI investments between US$65–80 billion each.
While some firms like Amazon have delivered strong financial results, others, like Meta, have underperformed, suggesting a combination of economic pressure, operational reshaping and AI adoption is driving this employment trend.
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