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Tech companies are slashing thousands of jobs as they pivot toward AI


Technology companies are axing jobs as they pile deeper into artificial intelligence, with one expert calling it a "sobering signal."

SAP is the latest big tech player to cut jobs as it pours money into AI, with the German software giant announcing this week that it is investing more than $2 billion to integrate artificial intelligence into its business as part of what it called "transformation program." In Netzer's view, companies are simply doing what they typically do — hiring more workers that specialize in fast-growing parts of the business, while laying off those whose skills may be less useful or contribute less to revenue growth. Megan Cerullo is a New York-based reporter for CBS MoneyWatch covering small business, workplace, health care, consumer spending and personal finance topics.

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