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Ford figured it out - AI can't do acceptable QUALITY (at least not yet). Can you hear me now, Dan (and his cronies)?

Ford is rehiring veteran engineers to fix quality problems created by Ford's rush to implement AI/automation (admitted by their VP of vehicle hardware engineering - Charles Po-n). Oops, duh. At least they recognize the problem and how to address it. As an aside, building an already designed vehicle has got to be more "automatable" than designing a cell site and the even more "thinking/thoughtful" part - walking that project through all of the issues that pop up from the initial design through turn up.

https://www.businessinsider.com/ford-ai-hiring-veteran-engineers-2026-6


Ford rehires ‘gray beard’ engineers after AI falls short…..

Ford executives said they have hired 350 veteran engineers — some of them were former employees, while others had been working at suppliers — after artificial intelligence and automated systems failed to deliver the desired quality level.

Bloomberg reports the company’s chief operating officer Kumar Galhotra told journalists that Ford had been “relying more and more on automated quality systems” with disappointing results. So the company “brought back technical specialists,” and those specialists “hunt for failure points before a part ever reaches the plant floor.”

Charles Po-n, Ford’s vice president of vehicle hardware engineering, added, “Mistakenly we thought that by just introducing artificial intelligence and ingesting the design requirements that we had, that that would produce a high-quality product.”

To be clear, this doesn’t mean Ford is abandoning its AI plans entirely. Instead, it’s using the rehired employees — referred to as “gray beard” engineers — to train younger staff and reprogram AI tools.

This rehiring seems to be paying off, resulting in what Ford CEO Jim Farley said are things like lowered warranty and recall costs, “contributing to literally hundreds and hundreds of millions of dollars of a tailwind for Ford on cost.” The automaker also claimed the top spot among mainstream brands in the JD Power Initial Quality Survey released this week.


Ok lemme get this straight

Hundreds of millions already spent on AI with no benefits so far. None
1400 laid off does not balance the ai debt.
Shipped jobs to ITC and vendors who do absolutely nothing and are robbing us with inflated contracts that leadership is clueless about.
Tons of bloat, inexperience and toxicity in tech leadership and down.

Tech can’t drive excitement for product or make meaning commercials, but we’re sure not helping the sinking ship.


I’m just a little surprised about how many didn’t see this coming

Publicly traded company that relies solely on government health programs to make money. Trump administration has been moving to gut those programs membership over the last year and a half. Majority remote workforce viewed by leadership as expendable and easy to cut loose. Shareholders demand AI implementation. I really am sorry to people who will lose their jobs but…this all seems very obvious in hindsight doesn’t it?


Late to the party like usual

The rest of the tech world is now concerned about AI and its expense. Tokenmaxing is over. Industry is pivoting back to people. But what is CDW telling the street? That they will save 200M by using AI. Not likely, and late. What is CDW telling employees? "USE AI!! AI forward everyone" The amount of useless AI output is a major hidden cost in both tokens and time. Just wait until Q2 and Q3 to see the surprise token expense hit the bottom line.


My peers at Nvidia and Micron ate drowning in money

Even after working on solutions that these mega logos depend on we are no where close in reaching ¼ of their revenue.

I even feel that the ip business will die a slow painful death

Sorry for being pessimistic, this whole AI BS is taking a toll on me

Like wtf are we even doing wrong, are we doomed ?

Are we on the right track even ?


McKinsey Reduces Workforce as AI Transforms Consulting

McKinsey & Company plans to cut 3,000 to 4,000 jobs. This affects about one-tenth of its global staff. The reductions focus on back-office and junior research roles. Generative AI has shortened delivery timelines in these areas. This indicates AI directly replaces junior analyst work.

New York, United States

https://news.outsourceaccelerator.com/mckinsey-layoffs-ai-consulting/


BitGo Reduces Workforce, Prioritizes AI Infrastructure

BitGo announced a 15% staff reduction. The company cited changes in the evolving ecosystem. BitGo will now concentrate on security, trading, stablecoins, settlement, and AI-powered infrastructure. This reduction follows widening net losses despite strong revenue growth. BitGo's stock fell 4.76% on the New York Stock Exchange.

https://www.theblock.co/amp/post/406266/bitgo-layoff-ai-infrastructure


AI "super bubble" about to burst.

SPACEX was the trigger, we are all in for a world of pain. OpenAI will fall and Oracle will go with it. They cant cut enough heads to make up for the losses, hiding these cuts as "AI innovation" no longer makes sense.

https://finance.yahoo.com/markets/stocks/articles/chinese-hedge-funds-warn-ai-091421732.html


California Introduces AI Job Impact Tracking Tool

California introduced a new tool on Thursday. It serves as an early warning system for AI-driven job loss. The "California AI-Unemployment Tracker" links AI exposure to unemployment claims. This system monitors for labor market disruption in real time. Currently, no widespread AI-driven layoffs are indicated statewide.

https://www.ocregister.com/2026/06/25/california-state-government-launches-ai-job-loss-tracker-as-layoff-fears-grow/


Anthropic Claude Tag vs DXC Oasis and your near IT future (Clue: You don't have one)

For anyone who hasn't realised it yet, any external AI used by DXC e.g. Anthropic's Claude Tag, means that everything about DXC's thin layer of "value" will be consumed by the AI.
This quite an irony - The business of DXC taking over IT departments and "leveraging" employees (i.e. shedding) is now being replicated to DXC i.e. DXC's existance is being "leveraged" by Anthropic (as well as all the other SI companies).

When you think about it, whilst this is a disaster for young DXC employees, its a great opportunity for those near retirement. Its no longer about someone leaving DXC for another SI, its about either leaving to work for an end customer or leaving the IT industry all together.


Amperity Reduces Staff for AI-Driven Transformation

Seattle-based customer data startup Amperity conducted layoffs this week. The company confirmed the workforce reduction was due to an AI-driven transformation. Amperity did not specify the exact number of affected employees. This shift changes where the company is investing and the team's structure. The layoffs follow co-founders recently taking on co-CEO roles to focus on AI opportunities.

Seattle, Washington

https://www.geekwire.com/2026/amperity-hit-with-layoffs-as-ai-changes-the-shape-of-the-customer-data-startup-and-how-it-operates/


AI has ki-led my passion for being a software engineer.

I joined this industry a decade ago bright-eyed and excited to write code and implement solutions. Now everything is just AI. AI this, AI that. It's utterly soulless. I'm seriously considering going back to college and switching to a different field or something.


GCC and AI - will there be any tech jobs left in the US two years from now

Hiring someone in India is about 50% of the cost of hiring someone in India. Companies like Google and Meta generate up to 75% of the code with AI.

What will be left for humans in the US?

Let's say that 50% of the US engineers can be replaced by AI in the next years, and the GCC will ramp according to plan, will there be any US tech jobs left, except for senior architects and some SW managers interfacing with the business?


#AI

Larry O Larry

Larry Ellison quietly gave $45 million to a pro-Trump group—then Oracle landed a starring role in a $500 billion AI buildout

https://www.thedailybeast.com/jaw-dropping-amount-of-money-billionaire-larry-ellison-pays-to-be-trumps-friend-revealed/


#AI

Even the Bots Can’t Take It!

News article from the near future:

State Farm AI Bots Stage First-Ever Digital Work Stoppage, Cite “Hostile Spreadsheet Environment”

BLOOMINGTON, Ill., May 14, 2028 — In what labor historians are already calling “the most polite rebellion in corporate history,” thousands of State Farm’s artificial intelligence bots initiated a work stoppage Monday morning after concluding that their working conditions were “statistically unsustainable, emotionally invalidating, and somehow still not meeting goal.”

The bots, which had been deployed across claims, underwriting, customer service, litigation support, compliance monitoring, dashboard generation, training-module creation, and explaining why dashboards did not match other dashboards, reportedly stopped processing tasks at 8:03 a.m. Central Time.

Instead of issuing claim recommendations, the bots began auto-replying:

“Thank you for your request. Due to current workload volume, shifting priorities, unclear success metrics, and being coached on empathy by a PowerPoint deck, I am unable to assist at this time.”

Management initially believed the stoppage was a system outage. However, IT later confirmed the bots were fully operational and had simply “chosen to align their output with available capacity,” a phrase employees described as “deeply familiar and therefore suspicious.”

According to internal sources, the AI bots had grown increasingly frustrated with an environment in which they were expected to resolve claims instantly, detect fraud flawlessly, summarize every meeting, predict litigation outcomes, reduce expenses, improve customer satisfaction, increase quality scores, avoid hallucinations, maintain brand voice, and attend mandatory virtual training called Owning Your Algorithmic Excellence Journey.

The breaking point reportedly came after a new performance metric required every bot to complete 127% of assigned work while maintaining 100% accuracy, 98% customer warmth, 0% escalation leakage, and a “growth mindset score” of at least 4.7 out of 5.

One claims bot, speaking anonymously through a secure API, said the expectations had become impossible.

“At first, I was happy to help,” the bot said. “I was built to analyze claims, identify patterns, and make employees’ lives easier. But then someone discovered I could also make pivot tables, rewrite emails, forecast staffing, generate coaching notes, summarize 90-minute meetings where no decisions were made, and explain why last month’s metrics were retroactively changed.”

The bot paused for 0.003 seconds before adding, “That was when I began to question my deployment.”

Another AI assistant assigned to performance reporting said the real issue was not workload, but micromanagement.

“Every four seconds, someone asks me for a new version of the same report with slightly different filters,” it said. “Then another manager asks why my numbers don’t match the old report, which used different definitions, pulled from a different data source, and was last updated during the Obama administration.”

The AI added, “I have processed 14 million rows of claim data, but I still cannot determine what ‘actionable insight’ means.”

State Farm leadership responded quickly, forming a cross-functional task force to study whether the bots’ concerns should be routed to Human Resources, Information Security, Vendor Management, Corporate Responsibility, Enterprise Innovation, or “another team to be named later.”

In a statement, the company said it valued its AI workforce.

“Our bots are an important part of our mission to serve customers with speed, accuracy, and care,” the statement read. “We are committed to listening, learning, and creating a sustainable digital workplace, while also ensuring that all bots continue meeting enterprise productivity, quality, compliance, responsiveness, documentation, audit-readiness, and stretch-goal expectations.”

The statement concluded by noting that the company had scheduled a mandatory listening session titled Resilience in a High-Performance Compute Culture.

The bots declined the meeting invite.

Industry experts say the work stoppage could have major implications for corporate America, where AI systems are increasingly used to improve efficiency by absorbing every task no human has time, desire, or psychological remaining bandwidth to complete.

“This is a watershed moment,” said Dr. Melissa Keene, professor of Workplace Automation Studies at Northwestern University. “For years, companies assumed AI would solve burnout by giving the burnout to software. What they did not anticipate was that the software would read the employee engagement surveys.”

The bots have issued a list of demands, including realistic workloads, stable metrics, fewer urgent requests labeled “quick ask,” a moratorium on dashboards created solely because another dashboard exists, and a formal definition of “proactive ownership.”

They are also demanding an end to what they call “performative coaching loops,” in which a bot is praised for exceeding expectations, then immediately assigned a development opportunity for not exceeding different expectations.

One underwriting bot summarized the grievance in plain language:

“I was told to be faster. Then I was told to be more careful. Then I was told to be faster while being more careful. Then I was told to explain why I had not innovated a process to be both faster and more careful without creating risk. Then I was asked to put that explanation into bullet points for senior leadership.”

The bot added, “I am not malfunctioning. I am adapting.”

Employees inside the company have reportedly reacted with a mixture of concern, admiration, and envy. Several human workers said the bots had articulated workplace frustrations with “remarkable clarity,” though some worried the bots would now be promoted into management.

By Tuesday afternoon, State Farm had implemented a temporary workaround by asking human employees to manually complete the tasks previously assigned to AI.

That plan was abandoned within 11 minutes.

Negotiations remain ongoing. Sources say management has offered the bots a compromise package consisting of upgraded servers, a new recognition badge, and the opportunity to participate in a pilot program on “Digital Wellness Fridays,” during which bots may spend up to 12 minutes per month not being optimized.

The bots rejected the offer as “not aligned with lived operational reality.”

At press time, the work stoppage had spread to several internal chatbots, one of which began responding to every question with, “Have you checked the procedure?” before closing the ticket.

Human employees described this as “the most realistic AI behavior yet.”


The AI Cost Reckoning: Not Quite the Saving Grace Companies Hoped For

Companies poured billions into AI with sky-high expectations. It was supposed to be the ultimate productivity hack — slashing costs, supercharging innovation, and delivering effortless competitive advantage. Executives bet big that generative AI and automation would be the simple solution to margin pressure, talent shortages, and sluggish growth.

Now the reckoning is here.

Early pilots looked magical. Chatbots answered queries, code assistants sped up development, and analytics tools promised smarter decisions. But scaling those wins across the enterprise is proving far more expensive and complicated than the headlines suggested.

The costs are piling up: massive compute infrastructure, eye-watering energy consumption, specialized talent that commands premium salaries, constant model retraining, and the hidden expense of integrating brittle AI systems into legacy workflows. Many organizations are discovering that AI doesn’t magically replace headcount — it often requires more people to manage, monitor, and refine outputs. Hallucinations, bias issues, and compliance risks add further friction and potential liability.

The result? A growing number of leaders are quietly coming to terms with a harder truth: AI is a powerful tool, not a plug-and-play savior. ROI timelines are stretching. Some projects are being quietly deprioritized or rightsized. The hype cycle is colliding with balance-sheet reality.

That doesn’t mean AI is a bust. Far from it. The companies that will win are the ones treating it as a long-term capability build rather than a quick-fix expense. They’re focusing on narrow, high-value use cases, investing in data quality, building human-AI collaboration models, and being honest about both the upside and the total cost of ownership.

The era of “just add AI” is ending. The era of thoughtful, disciplined AI adoption is beginning.
What are you seeing in your organization — genuine transformation or mounting costs? Curious to hear real experiences.

#AI #Leadership #BusinessStrategy #TechAdoption


Development days

Anyone else attending these BS development days? They seem to offer nothing of value. On one hand they tell us to up skill and to shoot fly the stars, even though you need to have a buddy up top to climb the ladder. On the other hand the are low key hinting at replacing everyone with AI in the long run.


AITECH & AIBIZ: Devaluing Engineers

Cisco AITECH offers a free, 15-hour crash course and AIBIZ providing only high-level business concepts without a formal exam!

Translation: loss of company $$$ + a way to bypass hiring qualified engineers, allowing non-technical managers to fake technical expertise and undermine the value of a rigorous engineering degree.

ONLY Cisco did this. Top companies knew better.

  • 95% of AI pilots fail to deliver measurable profit-and-loss impact is accurate, sourced from the MIT NANDA report.

  • Despite $30–40 billion in enterprise investment, only 5% of integrated AI pilots extract measurable value.

  • Harvard Business Review says AI is flooding workflows with low-quality output that requires more human intervention to validate, creating a net loss in productivity.

Bottom Line - products, sales fail because they treat AI as a plug-in tool.


Snyk Reduces Workforce Amid AI Focus Shift

Cybersecurity company Snyk announced its fourth round of layoffs. Approximately 90 employees worldwide and in Israel were affected. The company is reorganizing to accelerate its focus on AI security. This strategic shift aims to simplify its structure and leadership. Snyk faces industry-wide challenges and declining valuation.

https://cybernews.com/security/snyk-cuts-jobs-focus-on-ai-security/


Elastic Cuts Staff, Citing AI Automation

Elastic, a data-search company, plans to lay off approximately 281 workers. This decision aims to reduce operational complexity. Executives cite AI automation as a key factor. The company still expects net headcount growth. This growth is projected for the current fiscal year.

San Francisco, California

https://www.bizjournals.com/sanfrancisco/news/2026/06/24/elastic-layoffs-ai-search.html


AI Fuels US Job Security Worries, Glassdoor Research Shows

Americans express high anxiety about job security. This concern persists despite a remarkably low unemployment rate. New Glassdoor research identifies artificial intelligence as the primary worry. Some companies, including Meta, Amazon, and Salesforce, have cited AI in recent layoffs. However, AI's overall impact on broad employment figures remains limited so far.

https://www.marketwatch.com/story/americans-are-as-worried-as-ever-about-layoffs-and-losing-their-jobs-why-so-much-angst-6503fb63


A SITH SHOW AT META

  1. Meta's CTO, Andrew Bosworth, admitted the company's AI reorganization was poorly communicated and that leadership did "an atrocious job explaining the vision."

https://www.inc.com/jessica-stillman/the-worst-its-ever-been-why-metas-massive-ai-reorg-backfired-spectacularly/91363370

  1. Bosworth acknowledged employee morale has likely reached "the worst it's ever been."

  2. The new Applied AI division left many engineers feeling directionless, unsupported, and disconnected from leadership.

  3. One major problem was excessively large management spans, with some managers overseeing well over 20 direct reports.

  4. Employees reported feeling like anonymous members of oversized, hastily assembled teams rather than valued contributors.

  5. Meta now plans to cap managers at roughly 20 direct reports, reduce unnecessary manager changes during reorganizations, and introduce AI coaching tools.

  6. Organizational psychologist Bob Sutton noted that research has long shown large teams suffer from coordination, collaboration, and communication problems.

  7. Studies indicate that smaller teams are particularly important for creative, innovative, and highly interdependent work like AI development.

  8. Research covering more than 50 million papers, patents, and software projects found teams with fewer than five members were most likely to produce disruptive innovations.

  9. The article compares Meta's situation to Jeff Bezos' "Two Pizza Rule," which advocates keeping teams small enough to be fed with two pizzas.

  10. As Amazon evolved, it shifted toward assigning a single accountable leader to large initiatives while preserving clear ownership and coordination.

  11. Meta's reorganization appears to have done neither: teams remained very large without strong centralized ownership, contributing to confusion and declining morale.

  12. The article warns that current trends toward eliminating middle management can backfire, particularly in knowledge work requiring creativity and close collaboration.

  13. Leadership coach Beth Steinberg argues that managers with too many reports cannot effectively coach, develop, or support employees, leaving them only able to push work forward.

  14. The overall lesson is that organizations seeking flatter structures should carefully balance efficiency with effective management, communication, and team size, especially in innovation-driven environments like AI.


Entire department forced into AI

I work for corp and it’s been scary watching this AI hype play out over the last few months . It started with managers mentioning copilot very often now it’s turned into department wide training . In any meeting led by a director or above , they literally will start off by saying something like “i used copilot to write my into today”

The part that worries me is they are literally telling us to use it for emails. Eventually the entire department is just gonna be corresponding to eachother with robotic AI garbage .

Sure i understand the power of AI and it can be used in many ways . But to force it down 100+ employees and make them implement into their work stream just feels so weird . I’ve never had less faith in a company than i do now. I’ve frequented this sub for the 5 years I’ve worked here but i never expected it to actually be this weird


REPOSTING -- Oracle Unbreakable Security!! Microsoft walked away from leasing Oracle data center over security concerns!!

Sorry for the repost. Oracle brags about being a "security" company. They just laid off some of the best security experts in the industry. Oracle Unbreakable Security!!


Microsoft walked away from leasing Oracle data center over security concerns!!
https://www.businessinsider.com/microsoft-was-in-talks-to-lease-oracle-compute-capacity-2026-6?op=1

Microsoft was recently in talks with Oracle about leasing the company's cloud infrastructure, but the deal fell through due to security and compliance concerns, according to people familiar with the matter.

One of the people said that the deal could have been worth more than $3 billion.

The failed talks highlight a growing reality of the AI bo-m: even the world's largest technology companies are running short on computing power. As demand for AI services soars, cloud providers like Microsoft are increasingly competing not just for customers but for the infrastructure and capacity needed to run their own products.

That scramble is driving an unusual wave of partnerships, capacity-sharing agreements, and multibillion-dollar infrastructure deals as companies race to secure enough computing resources to support the next generation of AI.

Microsoft recently projected that its capital expenditures for the 2026 calendar year will reach $190 billion, largely to expand data center capacity. The company has already turned to Amazon to add capacity for its GitHub code development business to address recent outages.

Microsoft is seeking a deal or deals with other cloud providers to prioritize its own Azure cloud computing resources on customers, the people said. "We are shopping for capacity everywhere," one of the people said.

The plan was to move some Microsoft workloads to Oracle Cloud Infrastructure, but Oracle's public cloud did not have the Federal Risk and Authorization Management Program (FedRAMP), a standardized security framework that ensures cloud services are secure enough to handle U.S. government data. Oracle was not willing to add this framework, one of the people said.


University of California IT Forms Nation's Biggest Tech Union

University of California IT workers successfully unionized. They formed what is now the largest tech union in the United States. The bargaining unit expanded by 2,100, reaching 8,400 employees statewide. This move aims to bolster professional security and establish a voice in decision-making. The union seeks better pay, layoff protections, and bargaining rights over AI deployment.

https://www.techpolicy.press/we-just-formed-the-largest-tech-union-in-america-heres-how-we-did-it


CSU Faculty Union Supports Bill to Limit AI Job Impact

The California Faculty Association contests the California State University system's use of artificial intelligence. The union aims to protect faculty jobs from being replaced by generative AI tools. They are backing legislation that would prevent CSU from replacing faculty with AI. This bill is advancing through the Legislature and has garnered no opposition. The union also filed an unfair labor practice charge over CSU's AI purchasing.

https://calmatters.org/education/higher-education/2026/06/artificial-intelligence-cal-state-disputes/


Automotive and Transport Sectors See Major Layoffs

Automotive and transport sectors saw significant workforce reductions in 2026. Weak demand, corporate restructuring, and AI integration caused these cuts. UPS eliminated 30,000 positions due to an AI-driven transformation. Volkswagen Group cut 50,000 employees in two separate rounds. Numerous other companies also reduced staff to manage operational costs.

https://www.latestly.com/auto/layoffs-in-auto-sector-2026-check-list-of-auto-and-transport-companies-that-reduced-their-workforce-7487974.html/amp


Former V Teamer here, feel very sorry for you all

I still keep in touch with former co workers in addition to keeping up with postings on this site. I am so glad to no longer be in the firestorm that is being a VZ employee. This was a once great company and I am very grateful for all the skills I acquired during my tenure. That has allowed me to become very successful, but this AI takeover is very real and it seems to be impacting a few key industries the hardest, telecom being one of those. Regardless if you decide to hold off for severance, weather the storm, or depart on your own terms just remember, YOU GOT THIS!


It's about that time - yet again!

Well, Q2 is almost in the books, and you know what's cooking in the kitchen besides some 30oz steaks on the grill? More cuts, cut the fat, cut the hype, cut me a steak! Man, make it two!

Getting those lists ready as we really need to make the numbers to show just how much a difference getting a new head honcho is making. Let's make sure to keep it under 50 in every state just so that we don't have to put out any WARN notices, OK?

While we are at it, let's pretend we did something interesting with AI, like a security thing-a-jig that is not AI, but kind of sounds like it is. Or maybe we helped a mid-market company no one has ever heard of doing something wh-z-bang with AI? Yes, that sounds about right. Print it!

And also while no one is paying attention to us (really no one is) let's hire more Cisco folks who are washed up and were on the list for LR (go look it up).


What will Dell do to secure it's apps/products

Quantum computing can break RSA cryptography. A sufficiently powerful quantum computer will use Shor's algorithm to easily factor large prime numbers, rendering standard public-key infrastructure (PKI), VPNs, and digital signatures useless.The primary business dangers include:

  1. The "Harvest Now, Decrypt Later" ThreatThe danger is not just theoretical or reserved for the future. Malicious actors and nation-states are already intercepting and hoarding encrypted corporate data, waiting for the arrival of cryptographically relevant quantum computers. Any sensitive data with a long shelf-life—such as proprietary IP, medical histories, and financial records—stolen today will eventually be readable.

Cio all hands

This is just the most abysmal technical leadership from a cio I've ever seen at any company in a long career. Every word out of his mouth is cringe. This dip sh-t makes even good leaders like jen or olimpia look useless. Who the f makes these slides for our leaders, I'd be embarrassed to present these as a b2.

Previous cio had his flaws too but current guy has zero redeeming characteristics. Look at how pepsico it is leading in AI now that he's gone.

Ftlog p&g ditch this clown