Layoffs

What happens when companies become too AI-pilled?

2026-05-29 · TechCrunch

Box founder Aaron Levie coined the term 'AI psychosis' for when executives who don't understand your job decide AI can do it better. ClickUp axed 22% of its workforce to make room for AI agents, and 2026 tech layoffs are already nearly matching all of 2025. Turns out the biggest AI failure is the humans making the decisions.

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