AI not behind layoffs? Jensen Huang rebukes CEOs over blame-game months after ‘AI cost’ claims

Nvidia CEO Jensen Huang rejected the growing trend of CEOs blaming artificial intelligence for layoffs, calling it a ‘lazy’ and ‘irresponsible’ narrative during a Monday interview with Singaporean broadcaster Channel NewsAsia. He questioned how AI could already be causing job losses when its widespread workplace adoption only began six months ago, arguing that companies were using the narrative to ‘sound smart.’ Huang urged CEOs to adopt a more balanced approach, warning that fear-mongering about AI’s impact on employment was harmful. Huang’s comments followed a week after he delivered a commencement address to Carnegie Mellon University’s Class of 2026, where his AI-focused speech earned applause—unlike a recent booed speech by real estate executive Gloria Caulfield at the University of Central Florida. While Caulfield framed AI as the ‘next industrial revolution’ to arts and humanities students, Huang told science-focused graduates their careers would begin during the ‘AI revolution.’ The CEO’s stance contrasts sharply with recent layoff announcements from tech leaders, including Meta’s Mark Zuckerberg, who cited AI as the ‘most consequential technology of our lifetime’ while cutting thousands of jobs. Nvidia’s VP of Applied Deep Learning, Bryan Catanzaro, had earlier told Axios in April that AI compute costs for his team far exceeded employee expenses, complicating Huang’s rejection of AI as a primary driver of layoffs. Huang’s remarks come amid rising concerns among fresh graduates and industry professionals about job security in an AI-driven economy. His criticism highlights a divide between executives using AI as a scapegoat for workforce reductions and those, like Huang, arguing the technology’s impact on employment is overstated or misunderstood. The debate underscores broader tensions in the tech sector, where AI adoption is rapid but its long-term effects on labor markets remain uncertain. Huang’s pushback may signal a shift in how companies frame AI’s role in corporate restructuring, though his own company’s internal statements suggest Nvidia still views AI as a costly but essential investment.