So many companies cut their workforce as much as 10-15% citing that those jobs can be fully automated by the use of AI but I am still waiting to see any meaningful price cuts of their products from the said companies, etc.
Otherwise this will mean that they are doing this just to increase their profit margins and please their shareholders and don’t care about their customers or workforce.
Why the hell would they do that when their customers are already willing to pay the current prices?
Suppose you make widgets at a cost of $50 and sell them online for $100 each. Through the use of AI, you were able to fire half of your employees and now the cost of producing a widget is down to $30, a net saving of $20.
Why would you choose to lower the price of the widget from $100 to $80 instead of continuing to sell the widget at $100 and pocketing the $20 for yourself? What incentive have you got to reduce your price?
It may sound cold and cruel, because it is, but this is just how capitalism works. It is not in their economic interest to reduce their prices.
