Comment by basfo
6 days ago
> If a firm needs to perform project X that previously cost 10 engineers to do, but they only have the budget for 2, they will not tackle that project. Engineers used = 0.
0 on that Project, but those 2 engineers will still be used on a different Project that needs just 2 Engineers.
BUT a company that sees that project as a critical part of the bussines and MUST tackle that project, will only need the 2 engineers in the payroll. Or hire just 2 instead of 10.
Engineers not hired = 8
Or.. maybe they don't really need that project that needs 10 engineers. They are ok as they are today, but they realize that with AI, they don't need those 2 engineers anymore to produce the same output, probably can be handled by just one with AI assistance.
Engineers fired = 1
But now every firm has access to AI. If a firm that doesn’t fire people but instead simply boosts productivity, they will out compete their competitors. The only way to compete with that firm is to also hire enough employees and give them AI tools.