The AI-Panic Cycle—And What’s Actually Different Now
The Atlantic
February 20, 2026
AI-Generated Deep Dive Summary
The AI-Panic Cycle—And What’s Actually Different Now
Recent advancements in artificial intelligence (AI) have sparked a wave of anxiety among experts and the public alike, particularly as coding agents like OpenAI’s GPT-5.3 Codex and Anthropic’s Claude Code are revolutionizing white-collar work by automating tasks such as email management, bill payment, and even booking flights. These tools, while less user-friendly than chatbots, demonstrate a significant leap forward in AI capabilities, acting almost like personal assistants to streamline everyday tasks. This shift has fueled debates about the future of jobs, the ethics of AI development, and the broader societal impact of these technologies.
The rise of coding agents reflects a new phase in AI’s evolution beyond mere chatbots, which previously focused on mimicking human interactions. Now, AI is moving into more complex, background-level automation, capable of handling intricate tasks with minimal user input. This advancement has led to heightened concern among AI insiders and critics who warn about the potential for job displacement, especially in industries reliant on white-collar workers. Meanwhile, venture capitalists and tech companies are touting these tools as the next frontier in productivity, often downplaying the risks while emphasizing their benefits.
The cultural and political implications of this AI-Panic Cycle are profound. On one hand, there’s a sense of optimism about the potential for AI to enhance efficiency and innovation. On the other hand, there’s growing anxiety among workers whose jobs may be at risk, as well as concerns about data privacy, bias, and misuse of these powerful tools. Politicians and policymakers are now grappling with how to regulate AI without stifling its potential benefits. The divide between AI insiders, who view these advancements as inevitable progress, and those who see them as a threat to their livelihoods, is widening.
As AI continues to evolve, the balance between innovation and responsibility will be critical. The rise of coding agents marks a turning point in how we interact with technology, raising questions about labor rights, economic inequality, and the role of government in
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Originally published on The Atlantic on 2/20/2026