I suspect a lot of these layoffs are actually just cost cutting in response to these companies doing really poorly, the idea that the jobs are now being done by generative models is largely a smoke screen to save face and avoid admitting that companies are scaling back operations due to a lack of demand.

Those few cases where they actually are just replacing people are going to vanish the moment that the people hosting the models run out of money to burn and have to charge full price. Like the scale of operating losses is orders of magnitude greater than anything we’ve seen in the past.