Jack Dorsey Cut Half of Block’s Workforce and Wall Street Threw a Party

Jack Dorsey just laid off half his company in a single post. Four thousand people gone. Not because Block is struggling, quite the opposite. Fourth-quarter gross profit jumped 24 percent year over year to $2.87 billion. Cash App surged 33 percent. Earnings beat estimates. The company raised its full-year 2026 guidance to $12.2 billion in gross profit. Block is firing on all cylinders and it just told half its workforce they’re no longer needed.

The reason, stated without corporate euphemism, is artificial intelligence.