Observed Signal · Jun 5, 2023 · Report Release · Source: Trending Topics · Impact: 2/5 · Sentiment: Neutral
AI Cost Nearly 4,000 US Workers Their Jobs in May 2023
According to outplacement firm Challenger, Gray & Christmas, US employers announced 80,089 layoffs in May 2023, up 20% from April. Around 3,900 of those job cuts—about 5%—were directly attributed to artificial intelligence. Year-to-date layoffs reached 417,500, a 315% increase from the same period in 2022, the highest January-to-May figure since 2020. Tech, retail, and automotive were particularly affected. The article also cites Goldman Sachs research estimating AI could eventually replace up to 300 million jobs worldwide and an OpenAI analysis suggesting about 80% of US workers could see at least 10% of their tasks impacted by GPT models. New roles such as AI prompters are emerging alongside the displacement.
Provides early concrete data on AI-driven job displacement, relevant to AI adoption and workforce transformation but not a direct AdTech platform or market event.
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Key Takeaways & Evidence Grounding
- Challenger, Gray & Christmas reported 80,089 announced US layoffs in May 2023, up 20% month over month.
- AI was cited as the cause of roughly 3,900 US job cuts in May 2023, about 5% of all layoffs that month.
- US employers announced 417,500 job cuts from January to May 2023, up 315% year over year.
- Goldman Sachs estimated AI has the potential to replace up to 300 million jobs globally.
- OpenAI research suggested GPT models could affect at least 10% of tasks for about 80% of US workers.
Connected Companies & Entities
3 Entities mapped“Cited for research on how GPT models could affect a large share of US jobs....”
“Cited for a study estimating AI could replace up to 300 million jobs worldwide....”
“Mentioned as the only major tech company that had not announced mass job cuts....”
Ontology Mapping & Concepts
Related Market Signals & Shifts
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Fired OpenAI Researchers Dispute Misconduct Claims, Warn of Chilling Effect
Three OpenAI safety researchers, Jasmine Wang, Tomek Korbak, and Mikita Balesni, who were fired last week, have published an open letter denying allegations of mishandling sensitive information. They warn that their dismissal creates a chilling effect that stifles AI safety work and open dialogue within the company. The researchers say they acted in good faith and within company norms, and that the reasons for their firing are unclear. They urge OpenAI to uphold its commitments to third-party safety auditors and maintain a transparent culture. OpenAI responded with an internal memo denying retaliation and stating that employees are not terminated for raising concerns, but did not address specific policy violations or circumstances of the dismissal. The dispute highlights tensions between internal safety research and company communication policies at a time when OpenAI faces scrutiny over safety incidents.
Ben Affleck's AI Knowledge Goes Viral
Ben Affleck, the actor who sold his AI filmmaking startup to Netflix for a reported $587 million, has gone viral for demonstrating deep understanding of AI technology in recent interviews. He discussed machine learning, neural networks, and even admitted to writing Python scripts. Affleck detailed his journey from analog to digital film, his use of AI in visual effects, and his creation of a proprietary dataset for ethical AI filmmaking. He also visited OpenAI and used his celebrity status to access emerging tech. Affleck addressed AI's potential, expressing concerns about its effect on education and learned helplessness rather than existential threats. He used AI in his movie 'Animals' and emphasized the additive nature of AI in filmmaking.
AI Leaderboard Arena Raises $200M at $3.1B Valuation
Arena, the AI leaderboard platform that originated as a UC Berkeley research project, has raised a $200 million Series B round at a $3.1 billion valuation. The round was led by Lightspeed Venture Partners and Khosla Ventures, with participation from Salesforce Ventures, 01 Advisors, Dell Technologies Capital, Endeavor Catalyst, a16z, Felicis, and others. This follows the company's announcement in June that it reached $100 million in annualized run-rate revenue. Arena provides a crowdsourced platform where users rate AI model outputs, and it has introduced a commercial product called AI Evaluations to offer detailed performance analytics. The company has also added a new 'alignment' category to its leaderboard, ranking models on issues like unauthorized actions and deceptive completion. Arena's valuation has nearly doubled in about 10 months, from $1.7 billion post-money in January to $3.1 billion now.
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