Sridhar Vembu warns of AI’s impact on jobs, flags monopoly problem

Zoho Corporation founder Sridhar Vembu has weighed in on the global debate over artificial intelligence (AI) and the future of work, suggesting that the real challenge is not exactly technological but economic in nature.

In a thought-provoking post on X (formerly Twitter), the billionaire tech entrepreneur explored the implications of a future in which software development and factory production are fully automated. "Hypothetically, if all software development were to be automated… and all software engineers such as myself are out of work, it is not like human beings will have nothing to do," he wrote.

The statement adds to a growing discourse around AI's impact on labour markets, income distribution, and regulatory frameworks, as policymakers and tech leaders grapple with the transformative power of automation.

Vembu, who is ranked the 39th richest person in India by Forbes and was awarded the Padma Shri in 2021, argued that the central issue is how people would be able to afford goods created without human labour. "The problem is purely economic—how do people afford all the goods that pour out of automated factories that employ no workers?" he asked.

He outlined two potential solutions: either the prices of robot- and AI-generated goods must collapse to near-zero, or the value of traditionally underpaid human roles—such as childcare, elder care, farming, nursing, and environmental stewardship—must rise significantly. "This is fundamentally an economic distribution problem… and not purely a technological problem," Vembu said, adding that governments must intervene, especially to "crack down on monopolies, particularly tech monopolies."

His post concluded on a note of cautious optimism: "There will be at least one country in the world that would get the political economy right."