Salesforce reported earnings that surprised Wall Street, but the company's stock experienced a notable decline, marking its worst day in a year. Despite the earnings beat, analysts and investors remain cautious due to emerging weaknesses highlighted in the report. Salesforce's Chief Financial Officer Robin Washington disclosed that the company's push into artificial intelligence (AI) has led to a slowdown in hiring, particularly affecting software engineering and customer service roles. Approximately 500 customer service employees are being reassigned to other positions within the company. Meanwhile, Salesforce is increasing its hiring for sales staff by 22% this year. CEO Marc Benioff described concerns about AI-related job cuts as "alarmist," even as the technology replaces certain roles. The company's product performance remains strong, but the stock market reaction reflects investor apprehension about the impact of AI on workforce dynamics and overall growth prospects. Related technology companies such as HP and Dell Technologies also released earnings reports around the same period, with discussions focusing on their positions in the AI race and the implications for their business outlooks.