Recently, Block announced a reduction of over 4,000 jobs — a significant number, but interestingly, their revenue increased by $220 million compared to the previous quarter. Jack Dorsey, the founder and CEO, explained that AI has changed the way modern companies are built and operated. He believes that in the coming year, most corporations will need to make similar structural adjustments.

There is a noteworthy point here — Block is not an ordinary tech company. They are one of the largest businesses actively integrating Bitcoin into their core products. From integrating Bitcoin payments into Square and Cash App, to developing Bitkey — a self-custody hardware wallet — Block is truly building Bitcoin infrastructure. There are even rumors that Dorsey is Satoshi Nakamoto, although he has denied this multiple times. This makes anyone interested in Bitcoin, from issues related to Satoshi wallet addresses to hardware wallet security, pay attention to Block’s strategy.

A broad trend is underway. Amazon laid off 16,000 employees in January, Pinterest cut 15% of its workforce that same month, Salesforce, Klarna, and Accenture have also reduced staff — all citing AI and automation as the main reasons. A report from Citrini Research warns that if AI continues to develop at the current pace, there will be a wave of mass layoffs in office sectors, affecting consumer spending and growth rates.

What Dorsey said is very interesting: “I don’t think we are ahead in this awareness. I think most companies are behind.” In other words, Block is just one of the early companies to realize this. In fact, most other corporations are still slow in adopting AI.

A detail from Spotify is also quite shocking — CEO Gustav Söderström said that Spotify’s top developers will not write a single line of code in 2026, completely shifting to using AI for software design. This shows that the level of change AI brings is not just about reducing staff, but about transforming how companies operate entirely. This trend seems to be accelerating, and those companies that do not adapt quickly may face difficulties.