WSJ Tech News Briefing
TNB Tech Minute: AI Replaces Hundreds of Human Workers at IBM
May 6, 2025
The impact of AI on the workforce is in the spotlight as IBM replaces hundreds of human workers. Meanwhile, DoorDash makes waves by acquiring Deliveroo for nearly $4 billion. The tech world is abuzz over Cisco's launch of a groundbreaking quantum chip. Compounding the drama, Google's antitrust issues lead the Department of Justice to propose selling off parts of its ad business. Buckle up for a deep dive into these transformative tech stories!
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Quick takeaways
- IBM's AI integration has replaced hundreds of jobs, enabling a shift towards hiring skilled workers in strategic roles.
- DoorDash's acquisition of Deliveroo for $4 billion aims to expand its global presence and reach a larger customer base.
Deep dives
AI Workforce Changes at IBM
Artificial intelligence has significantly altered the workforce dynamics at IBM, leading to the replacement of hundreds of human resources positions. The company’s CEO, Arvind Krishna, explained that this shift has allowed IBM to invest more in hiring skilled software engineers and personnel in sales and marketing, ultimately increasing overall employment. This strategy focuses on reallocating human resources to roles that are more interactive and less centered on repetitive tasks, which Krishna refers to as 'rote process work.' The change highlights a broader trend in the tech industry where AI is being leveraged to enhance efficiency while shifting human roles towards more strategic functions.
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