This Industry Announces Massive Layoff of 6,000 Employees by 2028 as AI Replaces Jobs

November 26, 2025 10:48 AM

This Industry Announces Massive Layoff of 6,000 Employees by 2028 as AI Replaces Jobs

As the technology sector rapidly evolves, job security is becoming increasingly uncertain. The global shift toward artificial intelligence has pushed companies into the future—but human workers are paying the highest price.

💼 HP’s Major Announcement: 4,000–6,000 Jobs to Be Cut by 2028

Tech giant HP Inc. has announced that it will eliminate 4,000 to 6,000 jobs over the next few years as it transitions to an AI-driven operational model.

According to the company, AI-powered systems will:

increase productivity,
accelerate development,
improve customer service, and
make decision-making more cost-effective.

HP CEO Enrique Lores stated that these changes will save the company nearly $1 billion in three years.
But this cost-saving comes at the expense of thousands of employees.

📉 Not the First Layoff This Year

Earlier in February, HP had already laid off 1,000–2,000 employees.
Now the restructuring is intensifying, with an additional 6,000 job cuts planned.

The departments most affected will be:

product development
back-end operations
customer support

These are the same areas where AI models are replacing human roles the fastest.

🧠 AI PC Demand Is Rising, But Chip Prices Are a Major Problem

HP reported a sharp increase in demand for AI-enabled laptops and PCs.
In its latest quarter, 30% of all PCs shipped were AI PCs.

However, there is a major challenge:

🚨 Global AI infrastructure expansion has pushed DRAM and NAND chip prices to record highs.

This directly affects profitability for companies like HP, Dell, and Acer.

HP says the impact of rising chip costs will be most visible in the second half of 2026.
The company has enough inventory for early 2026, but rising costs later are considered inevitable.