The Tech Layoff Parade Is Here

Don't believe the "AI workforce efficiency" hype put forth by Software companies.

Tech layoffs in January were highly predictable.

• SAP (SAP): I’m not buying that “AI-driven efficiencies” have anything to do with the 8,000 employee RIF. BS. Germany is hurting and SAP is operationally weak, largely due to German labor law and weak management.

• Wayfair (W): What’s to say about Wayfair? There is a reason why Amazon does not focus on this product category. 8K filing HERE.

• Google (GOOGL): Google needs to reallocate its workforce with less focus on ancillary products and venture investments (moon shots) and more focus on LLMs / Generative AI, especially as internal chip design becomes a larger focus for the company. All of the big Tech players (Amazon, Apple, Google, Meta, Microsoft/OpenAI) are designing their own chips. Last year we told you that Google was not done with layoffs. Here is Google’s recent letter to employees: HERE.

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