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The use of AI companions is no longer niche behavior but has become embedded in mainstream teenage life, according to a new report. A nationally representative survey of 1,060 teens ages 13 to 17, conducted in April and May 2025 by Common Sense Mediaa U.S.-based advocacy and research nonprofitfound that 72% have used AI companions at least once, and more than half qualify as regular users. Of those surveyed, 13% are daily users. For the purposes of the research, “AI companions” were defined as “digital friends or characters you can text or talk with whenever you want.” This includes apps specifically designed as AI companions, such as Character.AI, Nomi, and Replika, as well as tools like OpenAI’s ChatGPT and Anthropic’s Claude, which, though not built for companionship, are frequently used in that way. According to the survey, most teens are taking a pragmatic approach to these tools rather than treating them as replacements for real-life relationships. Nearly half said they view AI companions mainly as tools or programs, while 33% avoid them entirely. However, a third said they engage with AI companions for social interaction and relationships, including role-playing and practicing conversations. Others said theyve sought emotional support, friendship, and even romantic connections with AI. Entertainment and curiosity are the primary drivers of use among teens, though a smaller number rely on AI companions for advice, appreciating their constant availability and nonjudgmental responses. Michael Robb, head of research at Common Sense Media, expressed concern over one particular finding: 31% of teens said their conversations with AI companions are as satisfyingor more satisfyingthan those with other people. A third have discussed serious and important issues with AI companions instead of humans, and 12% said they share things they wouldnt tell friends or family. From a developmental perspective, teens are still learning the tricky and sometimes uncomfortable skills of human relationships like handling disagreements, reading subtle social cues, and learning to understand others’ perspectives, Robb tells Fast Company. AI companions are specifically designed to be agreeable and validating. They tell teens what they want to hear rather than what they might need to hear from someone in their real life. A separate safety assessment published earlier this year by Common Sense and Stanford University’s Brainstorm Lab warned that no AI companion is safe for kids younger than 18. Although most platforms technically forbid minorsexcept for Character.AI, which rates its service as safe for ages 13 and upage verification processes are often easy to bypass. For now, most teens still prefer people to bots. According to the recent report, 80% of AI companion users spend more time with real friends than with AI. Just 6% said they spend more time with AI companions than peers, while 13% spend about equal time with both. The fact that half of teens express skepticism about AI companion information shows they may be using their critical thinking, Robb says. Though additional digital literacy education could certainly make that number larger.
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E-Commerce
PepsiCo reported better-than-expected earnings and revenue in the second quarter despite sluggish North American sales.Sales of Frito-Lay and other snacks fell 1% in North America during the April-June period, PepsiCo said Thursday, while beverage sales were down 2% in the region. But sales rose in some other regions, including Latin America and Asia.Revenue rose less than 1% to $22.7 billion in the April-June period. That was higher than the $22.3 billion Wall Street forecast, according to analysts polled by FactSet.PepsiCo’s net income fell 59% to $1.3 billion. Adjusted for one-time items, PepsiCo earned $2.12 per share. That was also higher than the $2.03 analysts forecast.PepsiCo shares rose more than 2% in premarket trading Thursday.PepsiCo lowered its full-year earnings expectations in April, citing increased costs from tariffs and a pullback in consumer spending. The company reaffirmed that guidance Thursday.Its tariff costs have risen since then. In June, the Trump administration hiked the tariff on imported aluminum from 25% to 50%. Dee-Ann Durbin, AP Business Writer
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E-Commerce
The summer of 2025 hasnt been a good one when it comes to job security in the tech industry. Since May, tens of thousands of technology workers have lost their jobs. In May, that included workers from Panasonic, Match Group, Google, and CrowdStrike. In June, layoffs affected employees from Microsoft, Disney, Bumble, and other companies. Unfortunately, July 2025 is turning out to be no different when it comes to layoffs from big-name tech companies. Here are some of the biggest names in tech that have laid off workers since this month began. Microsoft Without a doubt, the worst layoffs news this month came from Microsoft. In June, the company conducted two rounds of layoffs, including in its Xbox division. Those layoffs followed around 6,000 job cuts in May. But those cuts combined pale in comparison to July. That’s when Microsoft reportedly said it was cutting up to 9,100 jobs, or about 4% of its workforce. Fast Company reached out to Microsoft for comment. The cuts are widely seen as a way for the company to reallocate expenditures from labor pay to AI investment as the software giant, like so many other tech companies, pursues artificial intelligence advancement at all costs. Worse, layoffs can destroy lives, so it’s important that companies handle them with delicacy and care. But thats something Microsoft failed to do. Many of Microsofts laid-off workers lost their jobs due to Microsofts shift to AI, so it was a kick in the pants when Xbox executive producer Matt Turnbull posted on LinkedIn, just days after the layoffs, that recently laid-off Microsoft employees may want to consider using AI to help with the emotional load of a job loss. The post was soon deleted after public uproar. ByteDance TikTok’s parent company, ByteDance, has a significant workforce presence in Bellevue, Washington, comprising approximately 1,000 employees. But as GeekWire reported on July 7, ByteDance plans to lay off 65 of them. Twenty-seven of those workers will be laid off at ByteDance, while 38 at TikTok will lose their jobs. The roles are reportedly connected to its e-commerce unit, which includes TikTok Shop. Fast Company reached out to ByteDance for comment. In a statement confirming the cuts to GeekWire, a TikTok spokesperson said, As the TikTok Shop business evolves, we regularly review our operations to ensure long-term success. Following careful consideration, weve made the difficult decision to adjust parts of our team to better align with strategic priorities. Intel After Microsoft, chipmaker Intel is the tech giant that has posted the most job losses in July so far. As reported by Manufacturing Dive, the company is laying off more than 5,000 workers, with most of those job cuts happening in two states: California and Oregon. Jobs in Texas and Arizona will also be lost. Its unknown which departments at Intel will be hit the hardest. Fast Company reached out to Intel for comment. In statement confirming the job cuts to Manufacturing Dive, an Intel spokesperson said, We are taking steps to become a leaner, faster and more efficient company. Removing organizational complexity and empowering our engineers will enable us to better serve the needs of our customers and strengthen our execution. Like Microsoft and other tech giants, Intel is funneling its financial resources into artificial intelligence. That asset reallocation is likely a driving factor behind the job cuts as the company seeks to cut costs wherever it can. Glassdoor and Indeed (Recruit Holdings) On July 11, Recruit Holdings, the Japanese parent company of job sites Glassdoor and Indeed, announced it would be cutting 1,300 employees in its HR Technology segment. That number equates to about 6% of its total workforce. Again, the shift to artificial intelligence is likely one of the reasons behind the cuts. In a memo seen by Fast Company, Recruit CEO Hisayuki “Deko” Idekoba said that “AI is changing the world, and we must adapt by ensuring our product delivers truly great experiences for job seekers and employers”. Lenovo Consumer PC makers arent immune to layoffs, either. This week, Chinese computer giant Lenovo announced it would be laying off 3% of its full-time U.S. workforce. That equates to about 100 positions, according to The News & Observer. At least some of the layoffs are expected to affect workers at the companys U.S. headquarters in the North Carolina Triangle area, which includes Raleigh and Durham. Confirming the layoffs, a Lenovo spokesperson said, We are currently making strategic reductions in some parts of our North American business and will continue to invest and focus on initiatives that accelerate the growth and the overall transformation of the company. Scale AI While the industry shift toward artificial intelligence is at least a partially driving factor behind many of the layoffs announced in July, one AI company itself has also announced layoffs. Scale AI, a fast-growing data annotation companywhich recently received a $14.3 billion investment from Metahas announced it will cut 14% of its workforce, reports CNBC. Scale AIs business involves adding labels and other markers to the data that is used to train AI. These annotations help AI understand what it is looking at. As part of the deal with Meta, Scale AI CEO Alexandr Wang will head Metas new artificial intelligence research lab. The cuts are reportedly being made to reduce excessive bureaucracy at the company after it expanded its generative AI capacity too quickly, according to Scale AIs interim CEO Jason Droege. In a memo to employees, Droege said, These chnges will make us more nimble enabling us to react more quickly to shifts in the market and customer needs. Fast Company reached out to Scale AI for comment. 80,000 tech workers laid off in 2025 so far July has so far been a brutal month for tech layoffs, especially thanks to the large numbers of workers laid off from Microsoft, Intel, Indeed, and Glassdoor. This month’s layoffs add to 2025’s grim total, which now stands at over 80,000 tech workers who have lost their jobs since the year began, according to data from layoff tracker Layoffs.fyi. The 80,000 layoffs came from cuts at 159 tech companies. To put that 80,000 figure in comparison, it’s about half of the 152,000 tech workers laid off in all of 2024. Given that July is the midway point of the year, it means that, so far, 2025 tech layoffs are on par with layoffs in 2024. Going back further, the worst year for layoffs recently has been 2023, which saw 264,000 tech workers from 1,193 tech companies lose their jobs.
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E-Commerce
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