Replaced by AI, India will face massive layoffs in two years

EditorialCNBC Indonesia


Tuesday 07/18/2023 7:10 p.m. IWST

Photo: Computer illustration (CNBC Indonesia/Edward Ricardo)

Jakarta, CNBC Indonesia – The majority of outsourced programmers in India will lose their jobs in the next two years and be replaced by artificial intelligence or AI technology.

Emad Mostaque, CEO of Stability AI, said that artificial intelligence has the potential to have a major impact on the “technology outsourcing” sector in India. The reason is that software can now be developed by just a few programmers.

“I think [AI] This will have different impacts depending on jobs,” Mostaque said on a call with UBS analysts. “If you work on a computer and are never seen by other collaborators, [AI] very impactful because the model closely resembles that of talented university-educated workers.

However, regulatory differences in each country will also influence the impact of AI. Countries with strict labor laws will not feel the impact of the AI ​​revolution as much.

“In India, outsourced programmers at three levels will disappear within a year or two. In France, we don’t lay off developers,” Mostaque said.

Currently, there are around 5 million software developers in India. Most of them are threatened by advanced AI tools like ChatGPT.

The abundance of programmer labor makes India a prime location for outsourcing technical work from abroad. Companies hiring contractors in India include Silicon Valley tech giants, Wall Street banks and airlines.

“Why should you write your own code if a computer can do it better? If you look closely, all programming works, from bug testing, unit testing to ideation, AI can do it do better,” Mostaque said.

Mostaque, however, emphasized that software and application development work will not be fully automated. “This means that the need for labor for classical programming is decreasing.”

Watch the video below:

Deepfake AI, helping or harming humans?


Jordan Carlson

"Zombie geek. Beer trailblazer. Avid bacon advocate. Extreme introvert. Unapologetic food evangelist. Internet lover. Twitter nerd."

Leave a Reply

Your email address will not be published. Required fields are marked *