The Liability Sponge: Who Pays When AI Gets It Wrong?

Amazon cut 30,000 workers to make room for AI. Then its AI coding tool crashed 335 critical systems and cost the company millions in lost orders. The fix? Bring senior human engineers back to manually sign off on everything the AI writes.That's the accountability gap. And it's playing out everywhere right now — from corporate server rooms to federal courtrooms.In this episode, Alex and Morgan break down the structural shifts happening beneath the headlines: why 45,000 tech jobs disappeared in March 2026, what the Anthropic vs. Pentagon legal fight actually means for who controls AI, and how Reflection AI justified a $20 billion valuation without shipping a single product.The through-line: humans are still the liability sponge. The designated person who absorbs the blame when the machine gets it wrong. And right now, that's where the most durable skills live. Get full access to The AI Vaults at theaivaults.substack.com/subscribe