>do you fire devs or build better products?

I think that it's more along the lines of "do you fire people" instead of just "do you fire devs". Fewer devs means less of a need for PMs, so they can be let go as well, and maybe with the rise of AI assisted design tools, you don't need as many UX people, so you let some of them go as well.

As for building better products, I feel like that's a completely different topic than using AI for productivity gains, but only because at the end of the day you need buy in from upper management in order to build the features/redo existing features/both that will make the product better. I should also mention I'm viewing this from the position of someone who works at an established company and not a startup, so it may differ.