Investor Ross Gerber thinks that the timing of Uber Technologies Inc.‘s (NYSE:UBER) recent layoffs, coinciding with Tesla Inc.‘s (NASDAQ:TSLA) Cybercab launch, could point to a shift in the industry as enterprises deepen AI incorporation into workflows.
First Victims Of the AI Era
In a post on X on Wednesday, the Gerber Kawasaki co-founder weighed in on Uber’s job cuts. “The irony, the day before the Tesla robocab launch,” he said, adding that “thousands” lost their jobs at the ride-hailing giant. “The first victims of the AI era,” the investor said.
Uber, on Tuesday, announced it was cutting jobs across the board to redirect spending toward expanding its businesses. The job cuts reflect Uber laying off 10% of its workforce. CEO Dara Khosrowshahi said that the cuts would help Uber build its “autonomous future.”
The company has already allocated $10 billion toward autonomous driving through partnerships with Robotaxi operators and OEMs like Rivian Automotive Inc. (NASDAQ:RIVN), Lucid Group Inc. (NASDAQ:LCID), NVIDIA Corp (NASDAQ:NVDA) and more.
Ross Gerber Says FSD Has Improved
In a separate post, the investor also said that Tesla’s Full Self-Driving (FSD) system had improved with its latest update, saying that it was working “pretty good” compared to previous versions. “Many less disengagements. But still having to disengage too often,” he said.
However, the investor said that the system had showcased a “notable improvement” in how it operates. “It’s been a while since I can say this,” the investor added.
The investor had earlier said that the Cybercab presented a “very interesting” scenario in the auto sector, calling it the first “physical AI EV.” He also said that the vehicle was not “ugly” like Alphabet Inc.‘s (NASDAQ:GOOGL) (NASDAQ:GOOG) Waymo robotaxis.
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