Block Cuts Nearly Half Its Workforce Amid AI-Driven Restructuring; Shares Rise

Block, led by co-founder Jack Dorsey, announced layoffs of over 4,000 employees, nearly half its workforce, as part of a strategic shift to integrate artificial intelligence (AI) tools across its operations. The company emphasized that the decision is not due to financial distress but reflects structural changes enabling smaller, more efficient teams. Block expects restructuring costs of $450-$500 million and reported strong financial performance alongside the announcement. Shares surged up to 27% following the news, with Dorsey predicting similar AI-driven workforce changes across industries.