The technology giant Hewlett-Packard announced on Tuesday, November 25, that it anticipates a reduction of between 4,000 and 6,000 jobs by the end of 2028 as a consequence of the adoption of artificial intelligence in production optimization.

The elimination of these jobs represents slightly more than 10 % of the company’s payroll in Palo Alto, California, which has approximately 58,000 employees.

According to the company, the move “reflects a broader trend in the technology sector, where companies are investing heavily in AI development as they use this tool to reduce operational costs.”

HP has indicated that its AI adoption plan aims to achieve annual savings of approximately $1 billion by the end of fiscal year 2028.

However, industry analysts indicate that “AI automation is particularly impacting roles in customer service, content moderation, data entry, and certain computer programming tasks.”

In this context, HP CEO Enrique Lores stated that they plan to raise the prices of their computers and “work with new suppliers to help offset the high costs of AI-based computing.”

M.Pino

Source: swissinfo

(Reference image source: Gene Gallin on Unsplash)

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