Sridhar Vembu, founder and chief scientist of Zoho, said on Tuesday that the software labor market was struggling for several reasons other than artificial intelligence directly causing job losses. He declared in a long publication on social networks that job losses can be attributed to decades of ineffectiveness in the interpretation, driven by an excess of capital due to venture capital, investment capital and the IPO.
“What is in difficulty on the software labor market is not jobs in AI (not yet),” wrote Vembu in his article on X.
VEMBU continued to explain how these funds were used so that marketing propagates the fear of missing, uncertainty around the evolutionary nature of technology and doubts among companies, which led to ever increasing IT expenses.
“The company’s computer budgets have continued to increase because the CIO or the board of directors would like to be considered to be lagging behind? Large western companies have diapers and diapers of duplicated computer systems, a lot of money spent to acquire them and even more money spent to operate the disparate systems together.”
He even mentioned that more ineffective IT systems have ended up becoming permanent resource drains, needing a large number of employees to make them work. He also noted that in Software, a team of 2 people can surpass a team of 20 people and a team of 10 people can do the work of a team of 200 people.
“One of the deep facts on software is that often a team of 2 people can firmly surpass a team of 20 people and a team of 10 people can do the work of a team of 200 people.
The founder of Zoho also mentioned how companies in India absorbed these ineffectures during their expansion, but are now faced with a reality verification than easy dry money, which has encouraged them to focus more on productivity.
Instead of considering AI as the reason for job losses, Vembu has said that technology currently offers productivity gains up to 10 to 20%.
“Depending on the nature of a project, AI can offer productivity gains from 10 to 20%. Important but not the 10x or 100x jump to further destroy large -scale jobs. But these pale today’s Gains compared to” multiplied ineffectures “have been built over the decades”.
