Crypto.com Slashes 12% of Workforce in AI-Driven Reorganisation

Crypto.com has announced significant workforce reductions affecting 12% of its employees due to its transition towards an artificial intelligence-driven strategy. This move comes as a consequence to integrating widespread AI into its operations.

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Crypto.com, has made headlines for its recent layoffs with almost 70,000 employees leaving amidst the company’s push to fully incorporate AI across departments. The firm has cited the need for these cuts as critical if it wishes to optimise efficiency and maintain competitiveness in a swiftly evolving market driven by AI.

Firms that are already feeling nervous will likely experience even more anxiety given recent insights from various researchers. A comprehensive study conducted by Cognizant sheds light on what could become an enormous financial impact of these changes—a mind-boggling $4.5 trillion, with a staggering 93% of jobs being susceptible to some form of AI-driven disruption.

In other words, almost any job imaginable could see at least modest automation in the near future, as indicated by another Cognizant report referenced on Business Insider.

The situation is exacerbated by recent actions from Crypto.com and its CEO Kris Marszalek, who has been clear about the necessity of these AI-driven transformations for survival. This restructuring follows a $70 million investment by the company into artificial intelligence technologies, which will likely form a large proportion of future operational budgets. With companies investing heavily to stay at the cutting edge, it's unclear whether this trend is merely short-term pain or a harbinger of the employment landscape to come but the CEO believes that adapting AI is essential for survival..

It seems likely layoffs and hiring sprees aren’t just a one-off reaction to AI efficiencies – it’s quite possible employers are going to end up rehiring many of these workers, in which will create its own cycle of economic turmoil.

This shift isn’t just happening at Crypto.com. Recent months have seen several large-scale employer making similar significant cuts to their total personnel with Biglaw and other corporates following suit — according a report on Above the Law. The fear of missing out (FOMO) appears to have become a driving force here as firms race towards digital efficiency.

While there is clearly cause for concern, particularly among those facing immediate job losses it’s worth noting that not everyone shares these sentiments about automation. Some skeptics, such as the founder of Gather Peter Bell believe this won't replace human labour entirely but rather, complement it.

Category: NEWS

Tags:

• AI, Crypto.com Layoffs,

  Work-force changes

  Automation,

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