Artificial intelligence (AI) has distorted and disintermediated the business model of hiring remote techies from the developing world, for core jobs in many advanced economies. I am not talking of freelancing jobs where you are paid to make a logo for $30. I am talking of being employed in the technical design team of IBM, Cisco and others, at a salary range of $80,000 per year while living in Lagos or Nairobi!
All the leading companies offering remote-tech-placement services in Africa have either changed their CEOs or reduced operations. Simply, as AI penetrates into markets and becomes successful, many business models will be retired.
Have you noticed that the business model of training young people in the developing world to get (remote) software related jobs in the developed world has cooled significantly? Yes, that business model is being disintermediated by artificial intelligence (AI).
Also, have you noticed that adverts to attend coding schools or coding camps have reduced in volume? Yes, the fact that coding is largely becoming superfluous, as many coders in leading tech companies are coding themselves out of jobs, meaning that companies do not need a lot of them, coding pipelines will be affected.
I spoke with an amazing US team two weeks ago. The team is building an AI-infrastructure company that will enable say 100 people to support an insurance company where previously you would have needed about 10,000 people! In short, they have a license and can offer insurance infrastructure as a service. We sent them money, and they will be in the Tekedia Capital investment cycle coming up next month. Good People, it is scary because if they execute, jobs would be lost in the industry even as many will make tons of money while improving pricing for customers.
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So, over the next few years, we will see a massive re-alignment of jobs and software. Microsoft made some cuts this week and Verizon joined in the game: “The wave of layoffs sweeping through the tech industry has hit yet another major player. This time, it’s Microsoft, which announced on Thursday that it is cutting 650 roles from its Xbox gaming division….Verizon Cutting 4,800 Jobs”.
If you are reading me, I challenge you to have a career plan, not just a job plan, because as AI makes progress, the core essence of most jobs will be questioned. This year, Tekedia Capital will invest in at least 12 AI companies; about 8 in the United States.
In another startup we have invested in the US, they can use AI to do compliance reviews in biotech (drug discovery), finance (trading) and more. They can close departments in compliance departments as their products mature.
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