SAN FRANCISCO (KRON) — San Francisco-based cryptocurrency company Coinbase is the latest tech company to lay off employees, cutting hundreds of jobs, according to The New York Times. The move contributes to a worrying trend fueled by the rise in artificial intelligence.
The Enderle Group Principal Analyst Rob Enderle called the situation “unfortunate.”
“It’s the cost of AI that’s causing the income statements to get out of whack,” he said. “And so companies are looking to do layoffs to recover costs. It’s unfortunate companies often treat employees like (a) flexible cost.”
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Enderle said he followed the growing waves of layoffs at companies like Coinbase, which reportedly laid off 700 people. Meta, which laid off 8,000, is concerning for employees promised that AI would help and not harm their careers.
“The hope was, as we did with other industrial revolutions, the offset would be picked up by new jobs that were created, in other words, the jobs that were taken away, you’d have new jobs. People could retrain and move across. But that’s because the prior industrial revolutions took place over decades. This one’s taken place over months,” said Enderle.
According to the tracking website, Layoffs.Fyi, in 2025, there were 120,000 tech layoffs. As of May, recent mass layoffs have almost hit that number in the first five months of 2026 alone.
So what can you do?
“Avoid universities and colleges, go to tech schools, get a certificate short term, and go and move to the jobs that aren’t being impacted by yet and probably won’t be for some time,” Enderle said. “Jobs like mechanics or service work.”