Amazon, Microsoft use AI to generate 25% of their code: Will it take away jobs of software engineers in 2025?
Live Events
Has it affected Computer Science stream?
(You can now subscribe to our
(You can now subscribe to our Economic Times WhatsApp channel
The technology sector's brutal job cuts continues into 2025. With the tech industry being roiled by mass layoffs and hiring freezes, the leading culprit to be blamed for this grim picture is the technology itself. A recent Pew study found that Americans think software engineers will be most affected by generative AI, according to Atlantic.The report reveals the major tech giants-including Google's parent company Alphabet and Microsoft- now depend on AI to generate nearly 25 percent of the code. With AI generative tools becoming deeply integrated into software development workflows- it has raised serious concerns about the future of entry-level tech jobs in the US.'We're in an AI revolution, and I am a specialist in the kind of AI that we're doing the revolution with, and I can't find anything,' Chris Gropp told The Atlantic.The growing role of AI in the field of software development is showing up in employment data. Gropp is contending with a weak job market for recent college graduates in general and the tech sector in particular. Even though employment for 22-to-27-year-olds in other fields has seen a slight increase over the past three years, jobs for computer-science and math jobs in that age group has fallen by 8 percent, the report reveals.Executives at Microsoft and Google's parent company Alphabet have already confirmed the impact of AI on their code output. Recently, Amazon CEO Andy Jassy issued a stark message to employees: Artificial intelligence will reduce the company's corporate workforce in the coming years. 'We will need fewer people doing some of the jobs that are being done today,' Jassy wrote, citing expected efficiency gains. He noted that AI will also create new kinds of roles, but the net effect is likely to be a leaner corporate staff. Jassy wrote that employees should learn how to use AI tools, experiment, and figure out 'how to get more done with scrappier teams.'A 2025 Pew Research Center survey found that 48% of Americans believe software engineers will be among the professions most affected by AI in the coming years. That's a higher percentage than for teachers, journalists, or accountants.'We know AI is affecting jobs,' Rusinkiewicz, from Princeton, told the Atlantic. 'It's making people more efficient at some or many aspects of their jobs, and therefore, perhaps companies feel they can get away with doing a bit less hiring.'The shift towards AI has not just left the tech market rattled but it has also worried tech students. Enrollment in the computer-science major has historically fluctuated with the job market. Eventually, there aren't enough computer-science graduates, salaries go up, and more people are drawn in, the report mentioned.Prior declines have always rebounded to enrollment levels higher than where they started. (And some universities, such as the University of Chicago, still haven't seen any enrollment drops.) Sam Madden, a computer-science professor at MIT, told the outlet that even if companies are employing generative AI, that will likely create more demand for software engineers, not less.With mass layoffs in big tech, changing visa norms, and rising uncertainty around the long-term role of junior programmers, CS is no longer the default 'safe bet' it once seemed.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Economic Times
7 minutes ago
- Economic Times
'Recession indicators' flood TikTok in US: Labubus, lipsticks and low-rise jeans trigger panic
AP To be in a recession, the economy has to have two consecutive quarters, or six months, of negative GDP growth The term 'recession indicator' is trending all over social media in the US. Have you ever wondered what do a Labubu toy and the US Treasury yield curve have in common? For Gen Z, everything from the popularity of Labubus to listening to emo music to lipstick sales are a possible indicator of a recession. From Lady Gaga topping the charts to fashionistas stepping out in low-rise jeans and coke bottles with names-- all these are just few hints that social media users see as a sign of recession in US. TikTok is brimming with what users are calling modern-day recession indicators. Among the most talked-about are the hemline index—the theory that skirt lengths tend to get longer as economic downturns loom—and the lipstick index, which links spikes in lipstick purchases or Google searches to the onset of past recessions. ALSO READ: Social Security in August: Recipients to receive their checks on these dates. How can you make the most of it? 'A huge recession indicator nobody is talking about, ready? The club is only getting stronger,' one TikTok post said, reports Seattle Times. 'We have an event here in Seattle at Cha Cha Lounge (where) they throw Latin night on a Wednesday and it gets packed.' 'Five things trending this summer that are actually just recession indicators,' one TikTok creator says in a video, going on to point to short nails, minimalism, people quitting fake tanning and a return to natural hair colors as signs of a recession. Some posts suggested that signs of cost-cutting or anything evoking the 2007–2009 era are indicators that the US economy may be headed for a downturn. But experts don't share the same views and assessment as actual economic indicators hold steady despite clouds of uncertainty. Economists use metrics to predict recessions, such as the unemployment rate, now at 4.1%, and weekly unemployment insurance claims. ALSO READ: Stimulus payments August 2025: These US states will receive financial benefit. Do you qualify? The US real gross domestic product increased at a 3% annual rate from April through June, an improvement after contracting 0.5% in the first quarter, according to an advance estimate from the U.S. Bureau of Economic Analysis released this week. To be in a recession, the economy has to have two consecutive quarters, or six months, of negative GDP growth, economist Mark Gertler told The Seattle Times. This means, currently the US economy is not in a recession. The last time the National Bureau of Economic Research, where Gertler works, declared a recession was because of the pandemic. It was the shortest recession in US history, lasting from February to April 2020. Before that, the Great Recession, from 2007 to 2009, was the worst economic downturn in decades, and its impact reverberated through early 2000s culture. 'It could be that Lady Gaga concerts were correlated over a certain period,' Gertler was quoted as saying by Seattle Times. 'But if there's not a fundamental economic reason for that, the correlation will likely break down over time.' The Great Recession was a 'different animal' Gertler said, triggered by a bursting of the housing market bubble. When examining actual recession predictors, the US economy is holding fairly steady. ALSO READ: Social Security eyes massive reform in US: New policy could hit 3.4 million Americans this month Tara Sinclair, chair of George Washington University's Economics Department and an economic forecasting researcher, told NBC Washington while looking for recession indicators may seem strange, some have an underlying validity.'There would be reasons to think that culturally we could come up with a theoretical argument, for example, for the lipstick index, this idea that when you feel like you can't buy a whole new outfit, but maybe you can just buy yourself a new shade of lipstick, that that might somewhat be indicative of people's sense of personal finances,' she said.'I think what's more important is tracking that people are talking about it more. And in general, if people are talking about concerns about the economy, then the next step is for them to pull back on their spending. and if they pull back on their spending, then that can create a self-created recession," she said. ALSO READ: Sydney Sweeney's American Eagle ad controversy: How the actress built a $40 million empire from endorsements Labubus are actually recession indicators? 'I mean, it could be that we all get ourselves a little Labubu and if that's all we're getting everybody for Christmas this year, that's probably a signal that we've cut back a lot on our spending by Christmas," Sinclair said. 'Unless, of course, you're getting one of those collectible ones that cost thousands of dollars.'Economists rely on several key indicators to assess the nation's economic health—one of the most significant being the unemployment rate, which currently sits at around 4.1%. That figure has remained relatively stable over the past few spending is another critical measure. A noticeable drop in purchases of nonessential items can be an early warning sign of an impending recession, according to Ana Espinola-Arredondo, an economist and professor at Washington State University.
&w=3840&q=100)
Business Standard
39 minutes ago
- Business Standard
CCI orders another investigation into Google over AdTech dominance charges
Fair trade regulator CCI has ordered a detailed investigation into Google's conduct in the online display advertising market on a complaint filed by the Alliance of Digital India Foundation (ADIF). In an order passed by CCI on Friday, the regulator said it has decided to club the complaint with ongoing investigations in similar cases and directed the Director General (DG) to carry out a consolidated probe into Google's conduct in the AdTech ecosystem. "The DG is directed to investigate the various alleged practices of Google in Online Display Advertising services and/ or AdTech intermediation services and submit a consolidated investigation report in the matters, accordingly," it added. The order comes in response to a detailed complaint filed by ADIF alleging that Google has engaged in anti-competitive practices across various layers of its advertising technology stack. In its complaint, ADIF alleged that Google, through its multiple group entities, has engaged in anti-competitive conduct by self-preferencing its own services in the AdTech ecosystem, including tying and bundling of its publisher ad server (DFP) with its ad exchange (AdX), and linking access to YouTube ad inventory with the use of its demand-side platform (DV360). ADIF, which represents startups, companies and individuals, also alleged that such practices not only harmed publishers and advertisers but also foreclosed the market for competing AdTech service providers. The CCI said that the participation of ADIF, which represents key stakeholders in the start-up and digital ecosystem, could bring additional insights to the probe and there was no legal barrier to clubbing the matter with the ongoing investigation. The Commission said it was prima facie satisfied that Google's conduct warranted scrutiny under Section 4 of the Competition Act, which deals with abuse of dominant position. It directed that the matter be clubbed with four existing cases and a consolidated report be submitted after investigation. "Allegations made by ADIF in the present matter already form part of the allegations being investigated in the Publishers Case (supra), in terms of the proviso to Section 26(1) of the Act, the commission decides to club the present matter," the CCI said. However, in its response, Google denied the allegations and said it operates in a competitive AdTech market in India, with players like Xandr, Amazon Ads and the Trade Desk. It maintained that its products are interoperable and not tied. However, the CCI said these aspects will be examined during the course of the investigation. In a separate order, the CCI dismissed a complaint filed by ADIF against Google, concluding that the allegations raised were already examined and settled in previous cases. The CCI said it is not convinced by the reasons stated by ADIF for distinguishing its allegations from the issues examined in previous orders passed by the regulator. "The issues examined in the previous order may be 'the same' or 'substantially the same'. "Therefore, the present matter is directed to be closed forthwith in terms of the provisions of section 26(2A) of the Act," the regulator added. ADIF had cited four main concerns, including prohibition on third-party technical support advertisements, restrictions on 'Call Ads' on desktops, lack of transparency in ad rankings, and allowing competitors to bid on trademarked keywords. "All the four instances of alleged unfair and discriminatory conditions imposed by Google upon advertisers as part of its Google Ads Policies as raised by ADIF in the present matter, have already been examined in substance and set to rest by the commission in its previous decisions," the competition watchdog said. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
India.com
39 minutes ago
- India.com
Apple CEO Tim Cook willing to buy a big company but there is a twist which is...
New Delhi: Apple CEO Tim Cook has said that the company will now focus a lot more on artificial intelligence (AI) and termed it a revolution. He even went on to say that artificial intelligence is greater than the internet or smartphones. He was speaking at a rare all-hands meeting at Apple's Cupertino campus following the company's latest earnings report, where he emphasised that Apple must act swiftly to move ahead of other players in this transformative era. Cook laid out a determined roadmap that places AI at the heart of Apple's future. What did Tim Cook emphasise? 'Apple must do this. Apple will do this. This is sort of ours to grab. We will invest to do it,' said Cook as he acknowledged Apple's historical pattern of entering markets later than competitors but ultimately reshaping them with superior products. 'We've rarely been first. There was a PC before the Mac; there was a smartphone before the iPhone; there were many tablets before the iPad; there was an MP3 player before the iPod. This is how I feel about AI,' he said. What did he say about Apple Intelligence? It is noteworthy that Apple has not kept pace with rivals such as OpenAI, Alphabet, and Microsoft in publicly launching AI capabilities, but Cook displayed an intrepid confidence in the company's approach. Apple Intelligence, introduced last year, faced delays that impacted the iPhone 16 rollout, yet Cook downplayed the timeline issues, reaffirming Apple's commitment to delivering best-in-class solutions. 'To not do so would be to be left behind, and we can't do that.' How much quarterly revenue did Apple report? This meeting was reported by Bloomberg, citing sources. It came just days after Apple reported $94.04 billion in quarterly revenue, up 10% year-on-year (YoY), much above the $89.35 billion estimate of Wall Street. iPhone revenue came in much stronger than expected at $44.58 billion (up 13% YoY), setting a June-quarter record and surpassing Wall Street's $40.29 billion estimate. 'AI is one of the most profound technologies of our lifetime. And I think it will affect all devices in a significant way,' Tim Cook told analysts during the earnings call. Apple is establishing a dedicated AI server facility in Houston, indicating the gravity of the situation and how keen the company is to move up the AI market.
