There seem to be at least four "AI strategies" (if throwing spaghetti at the wall can be called a strategy) that different companies are currently trying.
1) This get rid of, and stop hiring, juniors and interns, and give AI tools to your senior developers. At least you've now got capable people doing your design and guiding the AI, but indeed where does the next generation of seniors come from, especially if you want seniors that actually know your business and IT systems. Taken to it's logical conclusion, no more juniors enter the field (because no-one is hiring them) and we end up with retirement age developers babysitting AI, then retiring, then ???
2) At least plan 1) works in the short term, but some companies have chosen to do the exact opposite and get rid of the seniors (hey, they're more expensive) and give AI tools to the juniors and contractors instead, Of course now you've got people generating AI slop without the skill to review or guide what it's generating, but at least it's cheap (until you belatedly realize you've destroyed your IT organization).
3) Do nothing meaningful with AI. Ignore your developers who say it would be helpful. Not really a strategy, but at least you're not destroying your IT organization.
4) Use AI in an appropriate way, mindful of it's current strengths and weaknesses. I have friends in IT working at companies who are using strategies 1-3, but category 4 seems much rarer. I guess it's perhaps not so sexy as "feel the AGI, fire some segment of your developers (toss a coin, fire the juniors or the seniors)", but you keep your IT structure, give SOTA AI to everyone (expensive, but cheap AI is mostly useless for coding), and treat it as a tool that your organization needs to develop best practices for, not a magic genie that you hope can currently do something that it cannot. Hint to CEOs: don't do what the AI execs are telling YOU to do - follow what they are doing at their own companies!
I'm guessing that companies following 2) will be first to fail then 1). It's largely a slow motion train wreck.