**[Analyst: Block's Shift to AI Strategy May Benefit Square Business the Most]** Odaily Planet Daily News – Following the release of strong financial results and the advancement of its AI transformation strategy, analysts believe that Block's merchant payment business, Square, will be the primary beneficiary of this strategic adjustment. The financial report shows that Block achieved an operating profit of $485 million in the fourth quarter, with adjusted operating profit reaching $588 million. Net profit attributable to common shareholders was $116 million, and adjusted EBITDA stood at $930 million. The company also raised its 2026 gross profit guidance to $12.2 billion, representing a year-on-year growth of approximately 18%. Block CEO Jack Dorsey recently announced that the company will cut over 40% of its workforce, reducing the total number of employees from over 10,000 to fewer than 6,000, in order to drive a more streamlined and AI-centric operational model. Analysts note that Block is among the first fintech companies to fundamentally reassess its workforce structure and productivity. Additionally, the company recently increased its Bitcoin holdings by 103 BTC, bringing its total holdings to approximately 8,883 BTC, valued at around $577 million, making it the 14th largest corporate Bitcoin holder globally. Dorsey stated that during the pandemic, the company rapidly expanded its workforce and established separate systems for Square and Cash App, leading to redundancy. Block is now pushing for organizational integration and plans to increase gross profit per employee to over $2 million, roughly four times the pre-pandemic level. Analysts believe that under the backdrop of AI-driven efficiency improvements, Square's business is poised to achieve scalable revenue growth first.