Will Humans Inevitably Be Replaced by AI? NVIDIA Executive: Computing Costs Still Far Exceed Labor Costs
An NVIDIA executive points out that AI replacing human labor is currently difficult due to computing costs far exceeding labor costs. MIT research also indicates that AI automation is economically viable for only a limited number of job types, raising questions about the cost-effectiveness of AI investments.
📋 Article Processing Timeline
- 📰 Published: April 30, 2026 at 22:54
- 🔍 Collected: April 30, 2026 at 23:02 (7 min after Published)
- 🤖 AI Analyzed: May 1, 2026 at 08:59 (9h 57m after Collected)
Central News Agency
(Central News Agency, Cambridge, Massachusetts, 30th, comprehensive foreign report) The impact of artificial intelligence (AI) on the job market continues to spark heated debate. Industry executives and authoritative research confirm that AI may not necessarily help companies save on labor expenses at this stage, as computing costs still far exceed labor costs.
The "MIT Sloan Management Review" points out that recent layoffs announced by large companies such as Meta (Facebook), Microsoft, and Oracle, citing improved corporate efficiency, reflect widespread market concerns.
According to the workplace tracking website Layoffs.fyi, over 90,000 people were laid off in the first quarter of this year, a faster pace than the over 150,000 layoffs by 549 companies throughout last year.
However, the argument that AI replaces human labor cannot be generalized. Sometimes, AI systems not only fail to save labor costs but may actually cause companies to spend more than what is currently required for human labor.
Bryan Catanzaro, Vice President of Deep Learning Applied Research at NVIDIA, told the US news website Axios: "For my team, computing costs are much higher than employee costs."
A 2024 study by MIT echoed Catanzaro's view. The study results showed that AI automation is economically viable only in 23% of jobs where visual capabilities are central, with the remaining 77% still relying on human labor.
Despite currently lacking disruptive evidence that AI has significantly boosted productivity, according to Morgan Stanley, tech giants continue to invest heavily in AI, with capital expenditures in this area alone reaching US$740 billion this year, a 69% increase from last year.
But can such massive spending lead to powerful systems, or will it instead make companies rethink their budgets and strategies?
Praveen Neppalli Naga, CTO of Uber, admitted in an interview with tech news outlet The Information after adopting AI programming tools like Anthropic's Claude Code: "I'm replanning because the budget I originally estimated has already been exceeded." (Compiler: He Hongru) 1150430
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(Central News Agency, Cambridge, Massachusetts, 30th, comprehensive foreign report) The impact of artificial intelligence (AI) on the job market continues to spark heated debate. Industry executives and authoritative research confirm that AI may not necessarily help companies save on labor expenses at this stage, as computing costs still far exceed labor costs.
The "MIT Sloan Management Review" points out that recent layoffs announced by large companies such as Meta (Facebook), Microsoft, and Oracle, citing improved corporate efficiency, reflect widespread market concerns.
According to the workplace tracking website Layoffs.fyi, over 90,000 people were laid off in the first quarter of this year, a faster pace than the over 150,000 layoffs by 549 companies throughout last year.
However, the argument that AI replaces human labor cannot be generalized. Sometimes, AI systems not only fail to save labor costs but may actually cause companies to spend more than what is currently required for human labor.
Bryan Catanzaro, Vice President of Deep Learning Applied Research at NVIDIA, told the US news website Axios: "For my team, computing costs are much higher than employee costs."
A 2024 study by MIT echoed Catanzaro's view. The study results showed that AI automation is economically viable only in 23% of jobs where visual capabilities are central, with the remaining 77% still relying on human labor.
Despite currently lacking disruptive evidence that AI has significantly boosted productivity, according to Morgan Stanley, tech giants continue to invest heavily in AI, with capital expenditures in this area alone reaching US$740 billion this year, a 69% increase from last year.
But can such massive spending lead to powerful systems, or will it instead make companies rethink their budgets and strategies?
Praveen Neppalli Naga, CTO of Uber, admitted in an interview with tech news outlet The Information after adopting AI programming tools like Anthropic's Claude Code: "I'm replanning because the budget I originally estimated has already been exceeded." (Compiler: He Hongru) 1150430
Choose to stand with facts, every sponsorship you make is a force to protect press freedom.
Download the Central News Agency "First-hand News" APP to stay updated with the latest news.
The text, images, and videos on this website may not be reproduced, publicly broadcast, publicly transmitted, or utilized without authorization.