The Revenge of Moravec’s Paradox

·

5 min read

Cover Image for The Revenge of Moravec’s Paradox

For decades, the narrative of the "future of work" followed a predictable path. We were told that automation would claim the "dull, dirty, and dangerous" jobs first. Robots would handle assembly lines and warehouses, while humans ascended into a "knowledge economy" defined by strategy, creativity, and glowing screens.

By early 2026, that script has been discarded.

The "Great Realignment" is no longer a fringe economic theory; it is a front-page reality. We are witnessing a historic migration of labor. Thousands of lawyers, accountants, and corporate managers are trading standing desks for toolbelts. The "Big AI Job Swap" is here, and it is redefining what it means to have a future-proof career in an age of autonomous agents.

The Revenge of Moravec’s Paradox

To understand why a corporate litigator now finds more job security under a kitchen sink than in a courtroom, we must look at Moravec’s Paradox. Coined by AI researchers in the 1980s, the paradox observes a fundamental irony in computer science:

  • High-level reasoning (logic, chess, legal research, financial auditing) requires relatively little computation and is easy for AI.

  • Low-level sensorimotor skills (navigating a cluttered room, identifying a rusted pipe, applying precise torque to a wrench) require enormous computational resources and are incredibly difficult for robots.

In 2026, Large Language Models (LLMs) and autonomous "Agentic AI" suites like Claude Cowork have become master logicians. They draft contracts and reconcile audits with a speed no human can match. Conversely, the physical world remains a chaotic environment for robotics. A 1920s Victorian home is an obstacle course of infinite variables that AI-driven hardware cannot yet navigate effectively or affordably.

The Collapse of the Seat-Based Economy

The shift is driven by economics as much as technology. For years, the IT and professional services industries operated on a "seat-based" billing model. You hired a firm and paid for the number of people (the "seats") assigned to your account.

As agentic AI began performing the work of entire departments, that model collapsed. When one senior partner using an AI agent can do the work of twenty associates, charging for twenty "seats" becomes impossible.

  • Outcome-Based Billing: Software and service firms are frantically pivoting to charging for results rather than hours logged.

  • The Corporate Squeeze: Mid-level professionals are becoming redundant unless they are high-level strategists directing the AI.

  • Trade Value Resilience: In manual trades, the "outcome" (stopping a leak, fixing a circuit) has always been the standard. Because these roles cannot be scaled by adding more compute-tokens, the value of human labor in these sectors has surged.

The Rise of the "Toolbelt Generation"

The psychological impact of this shift is profound. We are seeing the rise of the Toolbelt Generation—a cohort of workers who have realized that in a world of digital abundance, physical scarcity is the only true hedge.

  • Vocational Surge: Enrollment in trade schools has surged by double digits, driven by former "knowledge workers" seeking tangible presence.

  • AI-Proof Stability: You cannot "hallucinate" a properly installed circuit breaker or "deepfake" a sturdy roof. The feedback loop in the trades is immediate and undeniable.

  • Purpose-Driven Work: For many who spent years in nebulous corporate roles, the ability to look at a finished piece of carpentry provides a sense of purpose that a "synergy-alignment" slide deck never could.

The Infrastructure Bottleneck: AI’s Physical Limits

A systemic factor is also at play. As of February 2026, the primary bottleneck for AI expansion is no longer the availability of chips, but the capacity of the electrical grid.

Massive "agentic" systems are consuming power at rates that traditional infrastructure can barely sustain. This has led to a "hyper-scale" buildout of specialized data hubs. Ironically, the very machines that are displacing white-collar workers are creating a desperate, high-paying demand for the people who build their "homes." You need welders for cooling systems, electricians for power grids, and masons for the facilities. The AI revolution is being built by the hands of the people it cannot replace.

A New Social Contract

The Great Realignment is forcing us to reconsider our social hierarchy. For the last century, society valued "clean" office work over "dirty" manual work. AI is leveling that playing field.

We are entering the era of the "New Professional"—someone who may hold a master’s degree but chooses to master the intricacies of HVAC systems or electrical grids because that is where the human touch is most valued. This isn't a story of technological defeat; it's a story of human adaptation. The future of work isn't just in the cloud; it's in the wires, the wood, and the things we fix with our own two hands.


AI Daily Briefing: February 11, 2026

Beyond the labor market, several other critical stories are shaping the AI landscape today:

  1. Agentic AI Disrupts IT Billing: Major software firms are moving to "compute-token" billing as autonomous agents replace human teams in service delivery.

  2. Power Supply Bottlenecks: Experts warn AI scaling may hit a "hard ceiling" by the end of 2026 unless radical breakthroughs in modular nuclear power occur.

  3. US Chip Tariff Exemptions: The US government is weighing "Tariff Carve-Outs" for Big Tech to maintain domestic AI dominance in exchange for localized infrastructure spending.

  4. Supply Chain Reshaping: Massive capital expenditure by Google and others is relocating hardware supply chains toward the Taiwan-US tech corridor to secure stable power resources.


References

  • Goldman Sachs Economics Research: The Potentially Large Effects of Artificial Intelligence on Economic Growth (Task automation analysis by sector).

  • The Wall Street Journal: How Gen Z Is Becoming the ‘Toolbelt Generation’ (Vocational enrollment trends).

  • National Student Clearinghouse Research Center: Current Term Enrollment Estimates (Verification of trade school surges).

  • The Guardian: The Big AI Job Swap: White-collar workers ditching their careers (February 11, 2026 report).

  • DIGITIMES Asia: Global Supply Chains Reshaped by Hyper-Scale AI Infrastructure Spending.