AI Didn't Kill Your SaaS Sales Job—Bad Unit Economics Did

OE
OnTargetIsh Editorial
June 10, 2026

Tech companies are blaming AI for layoffs, but the real culprit is the sales model that never worked in the first place.

Everyone's selling the same story: AI is coming for tech jobs. The headlines write themselves. CEOs get to look visionary while slashing headcount. Investors nod approvingly at "efficiency gains."

Here's what they're not saying: AI didn't kill 150,000 tech jobs in 2026. Bad CAC/LTV ratios did.

The Australian software company that axed 40% of staff and blamed AI? Look at their sales motion. How many $50k ACV deals were they closing with a 6-month enterprise sales cycle? How many SDRs were they burning through to generate pipeline that converted at 8%?

That's not an AI problem. That's a "we hired 12 AEs when the math only supported 4" problem.

The Adaca report showing more developers than ever proves the point. Development scales. Building product scales. You know what doesn't scale? High-touch B2B sales when your ICP is mid-market companies who need 3 demos, a POC, and legal review for a $30k annual contract.

ANZ SaaS companies are finally doing the math they should've done in 2021. Turns out you can't hire your way to growth when your customer acquisition cost is higher than your customer lifetime value. AI just gave them cover to admit it.

For sales professionals, this means:

The safe jobs aren't at funded startups anymore. They're at companies with proven unit economics. Ask about CAC payback period in your interview. If they dodge the question, that's your answer.

Commission plans are getting restructured. Not because of AI, but because the old model—hire 20 AEs, hope 3 hit quota—was unsustainable. The survivors will make more. The bottom 50% are already gone.

Enterprise motion is back. Mid-market deals with enterprise-length sales cycles killed these companies. You're either selling $10k with a 2-week cycle or $200k with proper enterprise support. The middle is dead.

AI makes a convenient scapegoat. But most of these sales orgs were underwater long before ChatGPT launched. The bill just came due.


The reality check: If your company can't explain how they acquire customers profitably, start looking. AI won't save bad economics. And neither will your quota.

Hot Takes represent the personal opinions of the author and do not necessarily reflect the views of OnTargetIsh or any employer.