Zoho freezes employee salary hikes as rising AI costs threaten jobs and company finances
- Zoho founder Sridhar Vembu announced no annual salary hikes for employees this year, citing rising costs and business uncertainty.
- Vembu said server prices have increased fourfold, while growing artificial intelligence AI usage is pushing company expenses higher.
- Zoho has reduced marketing spending and stopped expanding its workforce for 18 months to control costs and avoid mass layoffs.
- Vembu warned that software jobs face an uncertain future and said Zoho's next 3–5 years will be crucial for its business transformation.
Source: indiatoday.in
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