IBM CEO, Arvind Krishna, has also indicated plans to replace about 30% of IBM's back office staff with AI technology over the next five years. However, he also stated that IBM was upskilling all its employees on AI, viewing these skills as a way to gain an economic advantage, rather than as a reason for layoffs. IBM has not confirmed the recent news of layoffs, only restating its previous comments about staffing levels and workforce realignment.
Key takeaways:
- IBM has reportedly made layoffs in its marketing and communications divisions, although the exact numbers have not been disclosed.
- The company has previously announced plans to cut staff and rebalance its workforce, with a focus on areas such as AI and hybrid cloud.
- IBM CEO Arvind Krishna has suggested that around 30 percent of IBM's back office staff could be replaced with AI technology, but also emphasized the importance of upskilling employees in AI.
- Despite the layoffs, IBM expects to end 2024 with roughly the same level of employment as at the beginning of the year.