Nvidia CEO sounds off as 41% of execs plan to cut workers due to AI automation by 2030

Nvidia CEO Jensen Huang warned that artificial intelligence could lead to job losses “if the world runs out of ideas,” despite AI’s potential to boost workplace productivity. His comments come as industry leaders debate whether AI will create mass unemployment, with Anthropic’s CEO predicting AI could eliminate half of entry-level white-collar jobs and spike unemployment to 20% within five years.

What they’re saying: Huang emphasized that innovation is key oto maintaining employment alongside AI-driven productivity gains.

• “If the world runs out of ideas, then productivity gains translates to job loss,” Huang told CNN’s Fareed Zakaria.
• “The fundamental thing is this, do we have more ideas left in society? And if we do, if we’re more productive, we’ll be able to grow,” he explained.
• “Everybody’s jobs will be affected. Some jobs will be lost. Many jobs will be created and what I hope is that the productivity gains that we see in all the industries will lift society,” Huang said.

The big picture: Corporate leaders are increasingly concerned about AI’s impact on employment, with recent surveys showing significant workforce reduction plans.

• Roughly 41% of chief executives said AI will reduce the number of workers at thousands of companies over the next five years, according to a 2024 Adecco Group survey.
• A World Economic Forum survey released in January showed 41% of employers plan to downsize their workforce by 2030 because of AI automation.
• More than half of large US firms plan to automate tasks previously done by employees, such as paying suppliers or processing invoices, according to a 2024 Duke University and Federal Reserve Banks study.

Why this matters: Nvidia, which briefly reached $4 trillion in market value, is among the companies leading the AI revolution through its chipmaking technology that powers major data centers for Microsoft, Amazon, and Google.

Historical context: Huang defended AI development by pointing to past technological advances that increased both employment and productivity.

• He noted that “over the course of the last 300 years, 100 years, 60 years, even in the era of computers,” both employment and productivity increased.
• Technological advancements can facilitate “an abundance of ideas” and “ways that we could build a better future,” he said.

How AI is changing work: Companies are increasingly using AI tools for creative and administrative tasks.

• Businesses deploy AI tools like ChatGPT and chatbots for drafting job posts, press releases, and building marketing campaigns.
• Even Huang acknowledged his own job has changed due to the AI revolution, “but I’m still doing my job.”
• “AI is the greatest technology equalizer we’ve ever seen,” Huang said, noting it “lifts the people who don’t understand technology.”