IBM Layoffs 2025: AI Hype vs. Job Cuts – What We Know

IBM's AI Hype Train: All Aboard the Layoff Express!

So, IBM's doing layoffs again. Surprise, surprise. They're calling it "workforce rebalancing," which is corporate-speak for "we're firing a bunch of people to make the stock price go up." Let's be real: it's always about the stock price.

They're framing this as a pivot to AI, ofcourse. "High-growth areas such as AI consulting and software," they say. Right. Like they suddenly discovered AI yesterday. Newsflash: everyone's chasing the AI dragon, and IBM's just late to the party, as usual.

The "Rebalancing" Act: Who Really Pays?

A "low single-digit percentage" of their 270,000-person global workforce. That could be anywhere from 2,700 to over 5,000 people. Gone. Shown the door. Told to find another job in 30 days or take a severance package. Nice. Real nice. I wonder if Arvind Krishna is taking a pay cut too? Didn't think so.

And get this: they expect those people to find another job within IBM in 30 days? What kind of dystopian fantasy is this? It's like telling someone their house is on fire, but hey, maybe they can just move to a different room.

I saw one report mentioned the US infrastructure group might be getting hit hardest, possibly losing almost half their people. Infrastructure! You know, the stuff that actually keeps the lights on. But hey, gotta chase those AI dreams, right? Who needs reliable systems when you can have…what exactly does IBM have in AI anyway? Watson? Still waiting for that to change the world.

The AI Mirage: Smoke and Mirrors?

"Our AI book of business now stands at more than $9.5 billion," brags IBM CEO Arvind Krishna. Okay, great. But how much of that is actual AI, and how much is just slapping the "AI" label on existing software? Are they just relabeling old stuff to get investors excited? I wouldn't put it past 'em.

And here's the kicker: 80% of IBM’s AI consulting and software clients in the past six months are new to the company. So, they're admitting they're selling snake oil to clueless newbies who don't know any better? Is that really something to brag about? I mean, congrats on the sales, but what are you actually selling?

Speaking of snake oil, this reminds me of that time my uncle bought a timeshare after a high-pressure sales pitch. He thought he was getting a great deal, but ended up paying through the nose for something he never used. Is IBM's AI push just the corporate equivalent of a timeshare scam? Are they just selling a dream that will turn into a nightmare for their clients?

Then again, maybe I'm the crazy one here. Maybe AI is the future, and IBM's just ahead of the curve. Maybe these layoffs are a necessary evil to build a better tomorrow. But, let's be real, I ain't buying it.

The Tech Industry's Sick Cycle

IBM isn't alone, of course. Amazon, Meta, Oracle... they're all doing it. Layoffs, restructuring, pivoting... it's the same old song and dance. They fire thousands of people, pat themselves on the back for being "leaner" and "more efficient," and then wonder why morale is in the toilet.

It's a cycle of boom and bust, driven by greed and short-term thinking. They treat employees like disposable cogs in a machine, and then act surprised when those cogs start to rust.

The New York Times says IBM has practiced "workforce rebalancing" for years. I call it "workforce exploitation." They squeeze every last drop of value out of their employees, and then toss them aside when they're no longer useful. IBM Is Laying Off Thousands of Employees

So, What's the Real Story?

It's the same old story: corporate greed, empty promises, and a whole lot of people getting screwed over. IBM's AI "revolution" is just a convenient excuse to cut costs and boost profits. Don't buy the hype.