AI reshaping tech industry as companies continue layoffs, expert warns
Coinbase, a San Francisco-based cryptocurrency company, has laid off hundreds of employees, contributing to a trend fueled by the rise of artificial intelligence. According to Layoffs.Fyi, 2026 is on track to match the 120,000 tech layoffs recorded in 2025, with many occurring in the first five months.
San Francisco-based cryptocurrency company Coinbase has cut hundreds of jobs, following a trend of tech industry layoffs linked to the rise of artificial intelligence. The Enderle Group's Principal Analyst Rob Enderle stated that the cost of AI is causing companies' income statements to become unbalanced, leading to layoffs. Meta laid off 8,000 employees, and according to Layoffs.Fyi, 2026 is on track to match the 120,000 tech layoffs recorded in 2025. Enderle noted that previous industrial revolutions occurred over decades, allowing for job retraining and creation, but the current AI revolution is happening rapidly over months. As of May 2026, recent mass layoffs have almost hit the 2025 total. Enderle advises individuals to attend tech schools and acquire short-term certificates to access jobs less likely to be impacted by AI.
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