‘A.I.-Washing’ Layoffs? + Why L.L.M.s Can’t Write Well + Tokenmaxxing

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Casey Newton 0:00
It's your day to play. It's your morning to make the most of.
Dani Blum 0:04
It's your way to love.
Casey Newton 0:05
It's your climate to consider.
Dani Blum 0:08
It's your answer to what should I watch? It's your money to save.
Casey Newton 0:13
It's your song to analyze line by line. It's your 10 ways to find a little calm. It's your world to understand. The New York Times. Find out more at nytimes.com slash your world.
Kevin Roose 0:29
I just read the most heartwarming news this morning that I wanted to share with you, Kevin. What's that? The UK government has withdrawn a proposal to let AI companies train on copyrighted works after a backlash from artists like Dua Lipa. Did you see this? No. Dua Lipa said, don't start now with this AI. My sugar boo? She litigating, Kevin. She's making some new rules and she's saying we're not going to train on my copyrighted works.
Casey Newton 0:59
Wow.
Kevin Roose 1:00
And that's why she is a queen. And so Dua Lipa, if you're listening, we salute you.
Casey Newton 1:05
Yeah. Dua Lipa, you're a Dua Keepa.
Kevin Roose 1:09
Period. Dua Lipa said, artist rights.
Casey Newton 1:13
Wow. I'm Kevin Roos, a tech columnist at the New York Times. I'm Casey Newt from Platformer. And this is Hard Fork.
Kevin Roose 1:23
This week, a big wave of tech layoffs is raising the question, has AI job loss truly begun? Then, writer Jasmine Sun is here to help us answer the question, why are chatbots bad at writing? And finally, it's token maxing time. Why tech companies are building leaderboards to measure who is spending the most on AI.
Casey Newton 1:53
Well, Casey, for years now, we've been monitoring for signs of an AI job apocalypse. Yeah, we've been monitoring the situation. It's true. And over the past few weeks, I think we've gotten some early indications that something is happening in the labor market, especially for tech workers.
Kevin Roose 2:07
Yeah, we have certainly heard CEOs of companies announcing layoffs, invoking AI as a reason that it is happening. And so that has gotten our attention. Yeah, so just a couple examples from the last few weeks.
Casey Newton 2:19
Last week, Atlassian announced a 10% reduction in its staff, about 1,600 jobs, that they said were going to help them fund further investment in AI and enterprise sales. That came on the heels of a big round of layoffs at Block, the financial tech company formerly known as Square. which said that it was cutting its staff by about 40% or about 4,000 jobs, saying that they were shifting the way that they were working to use smaller and flatter teams. And then the big one that folks are expecting maybe as soon as this week is that Meta is reportedly poised to lay off 20% or more of the entire company. This was reported by Reuters last Friday, who said that their sources had told them that Meta was preparing to cut as many as 16,000 jobs, the largest layoffs at that company since late 22 or early 2023, when they laid off 20,000 people.
Casey Newton 3:17
So as of this recording, that hasn't happened yet that we know of, but I know that people at Meta are very on edge and are awaiting the further news about their jobs.
Kevin Roose 3:27
Meta, after this story came out, told Reuters that it was, quote, speculative reporting.
Casey Newton 3:32
Which, if you're not familiar with the language deployed by Meta communication staffers, means this is happening, but we don't want to tell you it's happening yet.
Kevin Roose 3:40
Correct.
Casey Newton 3:41
So, Casey, I want to hear what you make of these layoffs, but first we should do our disclosures. I work for The New York Times, which is suing OpenAI, Microsoft, and Perplexity.
Kevin Roose 3:49
And my fiancé works at Anthropic.
Casey Newton 3:51
So, okay, Casey, what do you make of the fact that all these companies are referencing AI in some way as a reason for their layoffs?
Kevin Roose 3:59
Well, I think it's a little different at each company, Kevin. And I think we can make a decent case for and against the idea that AI is really driving the show at each of them. So maybe we should get into that. But at a highest level, I would say companies do continue to tell us now that AI is a significant factor in the reduction of these workforces? And sooner or later, I do think we're going to have to believe them.
Casey Newton 4:25
Yeah, I think this is the early warning sign for a lot of people, especially in the tech industry, who are, I think,

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