Google Reportedly Replacing Some Sales Staff with AI

2023-12-27

There are few modern technologies that have sparked concerns about the job market like AI. Unfortunately, for some Google employees, the consequences of AI's widespread adoption in almost every industry are starting to become apparent. According to reports, the tech giant is using AI to replace some employees in its advertising sales department during a "restructuring" process.

Insiders who revealed this information to "Information" magazine stated that Google is increasingly using machine learning to generate marketing ideas and copy for advertisers. These tools have been provided to search engine and YouTube advertisers for years and are expected to generate billions of dollars in revenue for the company annually at the current pace, according to an anonymous source. AI advertising tools not only generate substantial profits but also have higher profit margins compared to other departments at Google due to their minimal operational costs.

However, this is not enough for Google. Although the company's AI ad generator is relatively simple to operate, Google has previously employed around 13,500 human employees to oversee the output of these tools and create some ads from scratch. As Google's algorithms, such as the "New Era of AI-Driven Advertising" announced in May, become more proficient in automating these roles, these employees have become redundant. Now, according to reports, Google plans to "consolidate employees through possible layoffs, including reassigning employees from its large customer sales department responsible for relationships with major advertisers."

It is currently unclear how many of Google's 13,500 advertising sales employees will be affected by the company's cost-cutting measures, whether through layoffs or job reassignments. However, it is evident that the possibility of AI replacing human employees, which has been lurking in the corner for years since AI entered mainstream consciousness, seems to be seriously implemented. With user-friendly tools like ChatGPT, companies are able to gradually eliminate human workers (especially customer service agents). However, companies like Google have the ability to shape the tech industry and public perception, and even replacing 100 advertising sales employees could give AI onlookers who are eager to save money a push to abandon their own employees.

However, it remains uncertain whether such actions will pay off in the long run. Although nearly half of the surveyed companies stated that they may replace workers with AI by 2024, doing so may have adverse consequences. It is known that generative AI tools can spread misinformation and mislead users, which can be disastrous for companies that replace customer-facing employees with AI. Experts are also concerned that injecting AI into short-term cost-cutting strategies may trigger an "AI gold rush," where there may be more losers than winners.

Regardless, according to sources from "Information" magazine, Google may begin its restructuring next month, and we may learn more about the fate of its employees at that time.