Coinbase Laid Off 700 People for AI—Then This Happened

Coinbase Axes 14% for AI, Then CRASHES. Correction: while Anthropic is not yet profitable, its annualized revenue run rate reached $30B, up from $9B in 2025 Get updated: https://www.aiupdate.ai Coinbase just laid off 700 employees blaming “rapid advances in AI” then suffered a 7-hour outage, freezing millions of users’ funds. The CEO claims AI now lets leaner teams automate tasks, but the rush is exposing huge risks: Already, 16% of 2024 tech layoffs cite AI. It’s not just Coinbase. Amazon cut 30,000 jobs for “AI efficiency” and AWS data center failures are now breaking critical services. Meanwhile, Wired reports 380,000+ public AI-generated apps are leaking sensitive info, with 40% exposing medical, financial, and private data by mistake. Chapters: 00:00 - Intro: Coinbase AI Layoffs 01:20 - What Happend? 02:40 - The BIG Problem & Data Center Failures 05:00 - AI Supply and Demand 07:30 - AI Cybersecurity Threats 10:57 - Conclution References: https://www.reuters.com/business/world-at-work/coinbase-cut-about-14-workforce-2026-05-05 https://www.reuters.com/legal/litigation/amazon-cuts-16000-jobs-globally-broader-restructuring-2026-01-28/ https://www.reuters.com/business/retail-consumer/amazon-cloud-unit-says-data-center-overheating-north-virginia-disrupts-services-2026-05-08/ https://www.wired.com/story/thousands-of-vibe-coded-apps-expose-corporate-and-personal-data-on-the-open-web/ #ai #artificialintelligence #agi #deeplearning