Uber Cofounder and Tech Investor Warn AI Threatens Jobs in Consulting and Other Fields
Travis Kalanick, the co-founder of Uber, recently predicted on Peter Diamandis's podcast that artificial intelligence (AI) will significantly impact the consulting industry. Kalanick warned that traditional consultants who merely follow instructions without innovation are at high risk of being replaced by AI. He humorously suggested that future consulting might be as simple as accessing an advisor through an app, much like getting a ride with Uber. However, he emphasized that professionals who develop AI tools rather than just using them will have a better chance of thriving in this technological shift. "If you are the advisor building the tool that replaces other advisors, then you have a shot," Kalanick said. Leading consulting firms like Deloitte, EY, and KPMG are already leveraging AI to automate traditional tasks. In March, Deloitte launched the Zora AI platform, which provides clients with "intelligent digital workers" capable of independently completing tasks such as perception, reasoning, and action. Deloitte claims this platform aims to "redefine the way work is done" by offering a "digital workforce." Similarly, EY is rolling out 150 AI tax agents to assist with tasks like tax compliance, document review, and data collection, which were traditionally handled by human consultants. EY plans to have 80,000 tax department employees utilizing this platform. This trend is reshaping the expectations of consulting firms for their employees. Deloitte's manager Jillian Wanner stated in a recent panel discussion that the company no longer accepts a non-technical mindset. Instead, employees are expected to be "technology experts and engineers" first, and consultants second. KPMG's Global AI Lead, David Rowlands, also highlighted in a December interview with Business Insider that AI will profoundly transform professional services. He emphasized that the key is to integrate AI into the company's operational model, not just as isolated tools. "You need to think about embedding AI into the operational model," Rowlands advised. Post his resignation as Uber CEO in 2017, Kalanick now heads City Storage Systems, a company focused on disrupting the food production and distribution industry. His insights into AI reflect his ongoing interest in technological innovation, transitioning from a disruptor in transportation to a leader in the food sector. --- Victor Larza, a partner at Benchmark Capital, recently claimed on the Twenty Minute VC podcast that AI is beginning to replace human jobs, particularly in white-collar professions like law and recruitment. According to Larza, the assertion by large companies that AI merely enhances human capabilities is a misconception. Instead, AI is actively replacing human roles. He highlighted that legal and technical recruitment industries are already feeling the effects of AI. Larza explained that law students must now consider careers that AI cannot automate, but these options are becoming increasingly limited. Young lawyers often handle repetitive and administrative tasks, which AI can efficiently manage. Todd Itami, a lawyer at Covington & Burling, underscored the importance of learning AI tools, viewing it as crucial for success in the legal profession. In the recruitment field, AI is proving its value. OptimHire, a startup using AI to replace traditional recruitment methods, raised $5 million in funding in March. OptimHire claims its AI recruitment tool, OptimAI Recruiter, can efficiently search for candidates, conduct screening calls, and schedule interviews, speeding up the hiring process and reducing costs. Business Insider reported in 2023 that human resources and recruitment teams are increasingly using AI tools at various stages of the hiring process, from resume screening to candidate evaluation. While AI may reduce certain job roles, Larza predicts it will greatly enhance company value and productivity, allowing smaller teams to manage large corporations. This could result in higher profits and increased wealth for shareholders and founders. However, he warned that this trend might exacerbate social inequality and create an "extremely unstable factor" in society. Larza's views reflect a broader industry perspective on the rapid integration and potential impact of AI in modern work environments.Benchmark Capital, known for successful investments in tech giants like Uber, Asana, Snap, and WeWork, provides valuable insights into AI's transformative role. While AI brings significant efficiency, its long-term effects on the job market require careful consideration. Industry insiders largely agree that AI's influence will extend beyond the workplace, potentially leading to a future where people rely on apps to guide their daily activities, sometimes to the point of compliance with machine instructions. This shift underscores the need for professionals to continuously upskill and adapt to AI-driven changes to remain relevant in their careers. Evaluations by industry experts and company profiles confirm that the adoption of AI in consulting and other professional services is a necessary step for staying competitive. Deloitte and EY's investments in AI platforms demonstrate the potential for enhanced client service and operational efficiency. However, the broader implications for employment and social dynamics highlight the need for balanced and thoughtful implementation. As AI continues to evolve, its role in shaping the future of work and business models remains a critical area of focus for both industry leaders and policymakers.
