How AI-Obsessed Companies Lose Their Edge
▼ Summary
– Box founder Aaron Levie says people deciding AI can replace jobs often don’t understand the actual work involved, calling this “AI psychosis.”
– ClickUp recently cut 22% of its workforce for AI agents, and tech layoffs in 2026 are already nearly matching all of 2025.
– DuckDuckGo usage is rising as users want Google to stop forcing AI into search and just provide links.
– TechCrunch’s Equity podcast discusses when both AI-enthusiasts and AI-skeptics are simultaneously correct.
– The episode also covers three notable deals and Waymo’s new robotaxi hitting the road.
The people making decisions about replacing your job with AI are often the very ones who have no real understanding of what that job actually entails. That blunt assessment comes from Box founder Aaron Levie, who labels this phenomenon “AI psychosis.” And the evidence is mounting. ClickUp recently cut 22% of its workforce, citing the need to make room for AI agents. Tech layoffs in 2026 are already on track to nearly match the total for all of 2025. Meanwhile, DuckDuckGo downloads are surging as users seek refuge from Google’s relentless push to inject AI into search results, craving instead plain, unfiltered links.
On this episode of TechCrunch’s Equity podcast, hosts Kirsten Korosec, Anthony Ha, and Sean O’Kane explore the strange moment when both the AI-obsessed and the AI-skeptical turn out to be correct at the same time. They also break down three significant deals worth tracking and discuss Waymo’s latest robotaxi hitting the streets.
Make sure to subscribe to Equity on YouTube, Apple Podcasts, Overcast, Spotify, and all other podcast platforms. You can also follow the show on X and Threads at @EquityPod.
(Source: TechCrunch)
