Artificial intelligence is taking over the workplace — at least, that’s what some companies seem to be aiming for. But lately, it’s becoming clear many brands might be getting ahead of themselves, and customers are starting to push back.
Take Klarna, for example. A few years ago, the CEO of this “buy now, pay later service” bragged about turning the company into OpenAI’s “favorite guinea pig,” freezing hiring and swapping out people for AI wherever possible. For a while, the fintech giant proudly claimed its AI did the work of 700 customer service agents — but customers weren’t impressed. Now Klarna is backpedaling, planning to hire more humans to bring back quality and real conversations. Even the CEO admits that focusing too much on cost savings hurts service, and human support is the real way forward.
Duolingo, a language learning app, recently jumped on the same “AI-first” train, cutting contractors for tasks AI can handle and promising to hire only when every automation option is used up. The backlash was swift: users flooded TikTok with comments demanding real people run the company, calling the move “disgusting,” and vowing to delete the app. In response, Duolingo went radio silent, clearing out its social feeds and then posting bizarre, cryptic videos starring a masked “Rebel Owl” that took aim at the company’s AI push — including this one featuring the company’s CEO.
And it’s not just a social media thing. Studies back this up. Research from Harvard Business School points out that people naturally feel uneasy when technology threatens to take over tasks completely rather than just assist us. And according to the World Economic Forum, nearly half of Gen Z job seekers feel AI has already made their college degrees less valuable. So, while executives celebrate efficiency and record profits, a lot of regular people feel left out and disposable.
This doesn’t mean companies should throw out AI altogether. Used wisely, it can make services faster and more personalized. The problem is when businesses treat it like a magic cost-cutting tool and forget the human element that makes their product or service special in the first place. If companies want to avoid repeating Klarna and Duolingo’s missteps, they need to think bigger than just saving money. Customers are sending a clear message: they don’t hate AI itself — they hate when it feels like a replacement for real people and genuine care. That’s why embracing responsible AI is crucial. Companies must use AI in a way that’s transparent, ethical, and focused on enhancing — not replacing — the human experience.
Smaller businesses are showing you don’t need to be a big tech company to use AI in a thoughtful way. Many local shops and indie online stores use simple AI chatbots to handle quick questions but always make it easy to reach a real person when needed. Small marketing teams lean on AI to draft basic ads or schedule social posts so they can focus on fresh ideas and real client connections. Plenty of businesses use AI behind the scenes to handle boring paperwork or send reminders, freeing up time for meaningful work only humans can do.
If companies want to build lasting relationships, they should stop chasing quick savings and focus on earning real trust that keeps customers coming back. Be honest when we’re chatting with a bot, use AI to help people — not replace them — and really listen when we say we still want a human touch. AI can be a helpful tool, but it can’t replace real people.
