🔥 Jack Dorsey laid off 40% of Block employees (~4000 people).
The founder of Twitter and Square wrote a detailed post explaining the situation. The main point is that the company is not in crisis. On the contrary: $24 billion in revenue by 2025, profits are growing, and there are more customers.
But something has changed:
"The AI tools we are creating and using, combined with small flat teams, are forming a fundamentally new way of working - changing the very essence of what it means to build and manage a company. And this is accelerating."
This is the first case of this scale where a profitable growing company cuts 40% of its staff not due to problems, but because AI makes large teams redundant. Not "cost optimization" - but a new work model.
Block's stock rose 22% after hours.
Source: x.com/jack/status/2027129697092731343
