In the era of tap-to-pay, Block Inc. is trying to make things a little more enchanting.

In the era of tap-to-pay, Block Inc. is trying to make things a little more enchanting.

Block's Business Lead Owen Jennings speaks with Bloomberg Television’s Lisa Abramowicz at the JPMorgan Global Technology, Media and Communications Conference in Boston. (Source: Bloomberg)

Block Inc. offered a sunnier outlook for profits and growth on Thursday after orchestrating a severe round of job cuts related to artificial intelligence that executives said were painful but necessary to improve performance.

A spate of AI-tinged job cuts at crypto and payments companies has brought up a curious question for analysts and investors: how does one assess whether the artificial intelligence part is real?

Jack Dorsey is pitching artificial intelligence as a replacement for middle managers in his reimagined view of how technology companies should function, weeks after Block Inc. announced it was cutting nearly half its staff.

Jack Dorsey is pitching artificial intelligence as a replacement for middle managers in his reimagined view of how technology companies should function, weeks after Block Inc. announced it was cutting nearly half its staff.

When Block laid off nearly half its staff last week, co-founder Jack Dorsey offered a seemingly simple explanation: artificial intelligence was allowing the company to do more with fewer employees. The announcement, though, landed at the center of a complex debate over AI and the future of work: on one side, genuine fear that the technology will displace jobs at an unprecedented pace; on the other, deep cynicism that companies are exploiting that fear to dress up old-fashioned cost-cutting as technological futurism. Marcelo P. Lima, Founder and Managing Partner at Heller House, joins Bloomberg Businessweek Daily to discuss. Lima has been a vocal critic of Dorsey's management style at Block, and posted soon after the layoff announcement that the reduction in force "is the new Citrini fake narrative." Lima speaks with Carol Massar and Tim Stenovec. (Source: Bloomberg)

When Block Inc. laid off nearly half its staff this week, co-founder Jack Dorsey offered a seemingly simple explanation: artificial intelligence was allowing the company to do more with fewer employees.

Jack Dorsey’s fintech company Block announced it was cutting nearly half of its workforce as it bets big on AI. But skeptics say investments in technology may not be the only reason for the layoffs. J.P. Gownder, vice president and principal analyst on the Future of Work team at Forrester Research, joins Caroline Hyde on “Bloomberg Tech.” (Source: Bloomberg)

US stocks dropped as risk-off sentiment swept through markets and fintech Block Inc.’s massive layoffs fanned angst that artificial-intelligence risks upending broad sections of the economy.

Jack Dorsey's Block aims to improve efficiency by reducing headcount and leveraging artificial intelligence tools. A key focus is on an internal AI tool called Goose, which the company plans to rely on heavily to streamline business processes and enhance productivity. Emily Mason reports on "Bloomberg The Close." (Source: Bloomberg)

Comprehensive cross-platform coverage of the U.S. market close on Bloomberg Television, Bloomberg Radio, and YouTube with Romaine Bostick, Bailey Lipschultz, Carol Massar and Tim Stenovec. (Source: Bloomberg)

Jack Dorsey’s Block Inc. has been notifying hundreds of employees that their jobs may be eliminated during annual performance reviews as the payments firm embarks on a broader business overhaul.

Jack Dorsey’s Block Inc. has been notifying hundreds of employees that their jobs may be eliminated during annual performance reviews as the payments firm embarks on a broader business overhaul.