Nvidia executive: The cost of AI tools is 'far beyond' the cost of human workers Fortune

[usonian]

https://fortune.com/2026/04/28/nvidia-executive-cost-of-ai-is-greater-than-cost-of-employees/

Bryan Catanzaro, vice president of applied deep learning at Nvidia, recently told Axios.

Meta announced last week in a memo that it plans to lay off 10% of its workforce, about 8,000 employees, as well as scrap plans to hire for 6,000 open positions. It’s part of an effort to “run the company more efficiently and to allow us to offset the other investments we’re making,” according to the memo. Microsoft has offered thousands of its own employees a voluntary buyout, the largest the company has ever offered.

Other tech headers, however, suggest that right now, AI isn’t saving companies money on labor; it’s actually costing them more than the humans they currently employ.

snip

An MIT study from 2024 backs up Catanzaro’s experience. Analyzing the technical requirements of AI models needed to perform jobs at a human level, researchers found that AI automation would be economically viable in only 23% of roles where vision is a primary part of the work. In the remaining 77% of the time, it was cheaper for humans to continue their work.

In other instances, AI has proved to be fallible, with one engineer saying an AI agent destroyed his database and network as a result of what he called “overuse.”

Paper? https://arxiv.org/abs/2603.29121

One suspects that an Nvidia exec is hinting that the balance will tip when Nvidia gets lots more money. Like Sam.




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