The Reuters NEXT conference in New York served as a vital forum for industry leaders, economists, and policymakers to examine the rapid evolution and impact of artificial intelligence (AI). The event reflected mixed feelings: excitement about AI’s transformative power and concern over its broad effects on the workforce and economy. Experts at the conference dubbed AI as the most significant shift since the internet’s emergence, noting its unprecedented ability to reshape work processes and economic structures amid accelerated developments. This growth is fueled by major investments; AI-related capital expenditures in early 2025 have already exceeded consumer contributions to GDP growth, underscoring investor and corporate confidence in AI’s industry-altering potential. However, worries about labor market disruptions were pervasive. Many companies are reportedly slowing hiring or cutting staff as they adopt AI-powered automation, potentially rendering some job roles obsolete. Executives openly expressed eagerness to integrate AI even if it leads to redundancies. These fears are supported by a U. S. Federal Reserve report highlighting employment sustainability concerns and a Reuters/Ipsos poll where 71% of respondents feared permanent job loss due to AI. Economists offered diverse views.

Joseph Lavorgna suggested AI could supplement rather than replace human labor by boosting productivity and creating new jobs. Yet this optimism contrasts with data showing rising unemployment among recent graduates, considered tech-savvy and adaptable. Additionally, creative sectors traditionally seen as automation-resistant are now facing challenges as AI encroaches on tasks once deemed uniquely human. Middle management emerged as particularly vulnerable, with routine supervisory and decision-making roles threatened by automation. Companies like Moderna illustrate this trend, restructuring their workforces to align with AI-driven efficiency demands — a sign of broader organizational shifts. Environmental impacts of AI also featured prominently. Increased AI usage escalates data center energy consumption, worsening the technology’s carbon footprint. This surge in electricity demand has sparked debate among politicians and regulators about measures to curb AI’s environmental effects. In summary, the conference underscored that while AI promises innovation and growth, it also poses complex social, economic, and ethical challenges. Policymakers and business leaders must balance AI’s benefits with protecting workers, ensuring economic stability, and promoting environmental sustainability. As AI advances rapidly, society faces a crossroads that requires strategic governance, cooperative dialogue, and proactive adaptation to harness AI’s potential while safeguarding people and the planet.